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- APPENDICES (FOR ONLINE PUBLICATION ONLY) A Validating our STEM graduate measure Our measure of STEM intensity for 1980-2008 is based on the assumption that the share of STEM graduates within each cell occupation-industry-education (respectively, occ1990dd, ind1990dd and college vs post-graduate) is time-invariant and equal to its average value over 2009-2019 (when it is observable). This means that the variation within each industry ind1990dd is driven by changes in the share of college graduates and college post-graduates within each occupation (industry-specific) and by changes in the relative importance of occupations within the same industry. What we cannot measure is the variation in the share of STEM graduates over total graduates within each occupation-industry cell.
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- Based on data for 2009-2019, we decompose the total change in STEM intensity for the finance industry and for all other industries into a first component considering the share of STEM graduates over total graduates (A), a second component accounting for the change in the share of college graduates over total employees within the same occupation (B), a third component related to between-occupation changes in the composition of each industry (C). Components B and C can be measured for the whole period 1980-2019, while component A can only be measured for 2009-2019.
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