This paper uses Current Population Survey data to examine whether workers who use a computer at work earn a higher wag e rate than otherwise similar workers who do not use a computer at wor k. A variety of models are estimated.to try to correct for unobserved variables that might be correlated with job-related computer use and earnings. Estimates suggest that workers who use computers on their job earn 10 to 15 percent higher wages. Additionally, the expansion in computer use in the 1980s can account for one-third to one-half of t he increase in the rate of return to education. Copyright 1993, the President and Fellows of Harvard College and the Massachusetts Institute of Technology.
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