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Technology, computers and wages: evidence from a developing economy

  • Chris N. Sakellariou
  • Harry A. Patrinos

Increasing returns to schooling are documented for developed and some developing countries. The growing demand for skills is associated with recent technological developments, including the introduction of computers in the workplace. Research in developed countries documents a premium for computer use. However, there is recent evidence suggesting that computer skills by themselves do not command a wage premium. This paper reviews the literature and uses data from a survey of university graduates in Vietnam. The results support the unobserved heterogeneity explanation for computer wage premiums. The results suggest that computers may make the productive workers even more productive.

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Article provided by ULB -- Universite Libre de Bruxelles in its journal Brussels economic review.

Volume (Year): 47 (2004)
Issue (Month): 3-4 ()
Pages: 543

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Handle: RePEc:bxr:bxrceb:y:2004:v:47:i:3-4:p:543-560
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  10. Oosterbeek, Hessel, 1997. "Returns from computer use: A simple test on the productivity interpretation," Economics Letters, Elsevier, vol. 55(2), pages 273-277, August.
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  12. Harry A. Krashinsky, 2000. "Do Marital Status and Computer Usage Really Change the Wage Structure? Evidence from a Sample of Twins," Working Papers 818, Princeton University, Department of Economics, Industrial Relations Section..
  13. Dinardo, J.E. & Pischke, J.S., 1996. "The Returns to Computer Use Revisited: Have Pencils Changed the Wage Structure Too?," Working papers 96-12, Massachusetts Institute of Technology (MIT), Department of Economics.
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  16. Drolet, Marie & Morissette, Rene, 1998. "Computers, Fax Machines and Wages in Canada: What Really Matters?," Analytical Studies Branch Research Paper Series 1998126e, Statistics Canada, Analytical Studies Branch.
  17. 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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  19. Donald J. Robbins, 1996. "Evidence on Trade and Wages in the Developing World," OECD Development Centre Working Papers 119, OECD Publishing.
  20. David H. Autor & Frank Levy & Richard Murnane, 2000. "Upstairs, Downstairs: Computer-Skill Complementarity and Computer-Labor Substitution on Two Floors of a Large Bank," NBER Working Papers 7890, National Bureau of Economic Research, Inc.
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