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Use IT or Lose IT? The Impact of Computers on Earnings

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  • Peter Dolton
  • Gerry Makepeace
  • Helen Robinson

Abstract

The extent to which the impact of computer skills depends on how computers are used is investigated using British data from an establishment survey, cohort studies and the European E-Living survey. We examine the importance of activity and frequency of use in these various data sources. We find that the impact on earnings depends on which cohort of workers is examined and that there are differences over time. The regression results show that the use of computers for internet access and for email is positively significant across all of our datasets, although there are differences in the size of the effects between men and women.

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File URL: http://cee.lse.ac.uk/ceedps/ceedp82.pdf
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Bibliographic Info

Paper provided by Centre for the Economics of Education, LSE in its series CEE Discussion Papers with number 0082.

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Date of creation: Jun 2007
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Handle: RePEc:cep:ceedps:0082

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Web page: http://cee.lse.ac.uk/publications.htm

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Keywords: ICT;

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References

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  1. Krueger, Alan B, 1993. "How Computers Have Changed the Wage Structure: Evidence from Microdata, 1984-1989," The Quarterly Journal of Economics, MIT Press, vol. 108(1), pages 33-60, February.
  2. John E. DiNardo & Jorn-Steffen Pischke, 1996. "The Returns to Computer Use Revisited: Have Pencils Changed the Wage Structure Too?," NBER Working Papers 5606, National Bureau of Economic Research, Inc.
  3. Entorf, Horst & Kramarz, Francis, 1997. "Does unmeasured ability explain the higher wages of new technology workers?," European Economic Review, Elsevier, vol. 41(8), pages 1489-1509, August.
  4. Kevin T. Reilly, 1995. "Human Capital and Information: The Employer Size-Wage Effect," Journal of Human Resources, University of Wisconsin Press, vol. 30(1), pages 1-18.
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Cited by:
  1. Cindy Zoghi & Sabrina Wulff Pabilonia, 2006. "Which Workers Gain Upon Adopting a Computer?," Working Papers 395, U.S. Bureau of Labor Statistics.
  2. Hsin-Fan Chen & Long-Hwa Chen, 2007. "The role of computer use and English proficiency in gender wage inequality: Taiwanese evidence," Economics Bulletin, AccessEcon, vol. 10(16), pages 1-9.
  3. Peter Dolton & Panu Pelkonen, 2007. "The impact of computer use, computer skills and computer use intensity: evidence from WERS 2004," LSE Research Online Documents on Economics 19389, London School of Economics and Political Science, LSE Library.
  4. Giorgio Pietro, 2007. "The effect of computer use on earnings in Italy," Empirical Economics, Springer, vol. 33(2), pages 245-262, September.
  5. repec:ebl:ecbull:v:10:y:2007:i:16:p:1-9 is not listed on IDEAS

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