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Computer use and earnings in Britain

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Author Info
Makepeace, Gerry (Cardiff University)
Peter Dolton

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Abstract

This paper estimates various models of the effect of computer use on earnings using recent NCDS data. The cross-section estimates are large and significant while the standard fixed effects estimates are small or insignificant. The panel estimates change considerably once we allow the coefficients to differ across individuals. Indeed, conditional on assumptions about when individuals use computers, conventional panel estimates may not identify the crucial parameters and cross-sectional methods may be needed. We conclude that there was a premium associated with computer use for some individuals in the UK which we attribute to better capital equipment.

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Publisher Info
Paper provided by Royal Economic Society in its series Royal Economic Society Annual Conference 2003 with number 146.

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Date of creation: 04 Jun 2003
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Handle: RePEc:ecj:ac2003:146

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Web page: http://www.res.org.uk/society/annualconf.asp
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Related research
Keywords: earnings; ICT; computers;

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Find related papers by JEL classification:
J00 - Labor and Demographic Economics - - General - - - General
J30 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - General
J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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  1. Barry R. Chiswick & Paul W. Miller, 2005. "Computer Skills, Destination Language Proficiency and the Earnings of Natives and Immigrants," IZA Discussion Papers 1755, Institute for the Study of Labor (IZA). [Downloadable!]
  2. Cindy Zoghi & Sabrina Wulff Pabilonia, 2006. "Which Workers Gain Upon Adopting a Computer?," Working Papers 395, U.S. Bureau of Labor Statistics. [Downloadable!]
  3. Alexandra Spitz-Oener, 2007. "The Returns to Pencil Use Revisited," IZA Discussion Papers 2729, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  4. Benoit Dostie & Mathieu Trépanier, 2005. "Returns to Computer Use and Organizational Practices of the Firm," IZA Discussion Papers 1541, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  5. Barry Chiswick & Paul Miller, 2007. "Computer usage, destination language proficiency and the earnings of natives and immigrants," Review of Economics of the Household, Springer, vol. 5(2), pages 129-157, June. [Downloadable!] (restricted)
  6. Long-Hwa Chen & Hsin-Fan Chen, 2007. "The role of computer use and English proficiency in gender wage inequality: Taiwanese evidence," Economics Bulletin, Economics Bulletin, vol. 10(16), pages 1-9. [Downloadable!]
  7. Sabrina Wulff Pabilonia & Cindy Zoghi, 2004. "Which Workers Gain from Computer Use?," Working Papers 373, U.S. Bureau of Labor Statistics. [Downloadable!]
  8. Dunne, Timothy & Troske, Kenneth, 2004. "Technology Adoption and Workforce Skill in U.S. Manufacturing Plants," IZA Discussion Papers 1427, Institute for the Study of Labor (IZA). [Downloadable!]
  9. Coneus, Katja & Gernandt, Johannes & Saam, Marianne, 2008. "Noncognitive Skills, Internet Use and Educational Dropout," ZEW Discussion Papers 08-044, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research. [Downloadable!]
  10. Spitz, Alexandra, 2004. "Using Methods of Treatment Evaluation to Estimate the Wage Effect of IT Usage," ZEW Discussion Papers 04-67, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research. [Downloadable!]
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