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IT Capital, Job Content and Educational Attainment

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  • Spitz, Alexandra

Abstract

Based on a large data set containing information on occupations between 1979 and 1999, this study explores the ?black box? surrounding the skill?biased technological change hypothesis by analyzing the mechanisms that induce information technologies to be complementary to employees with higher skill levels. Using direct, multidimensional measures of occupational skill requirements, the analysis shows that IT capital substitutes repetitive manual and repetitive cognitive skills, whereas it complements analytical and interactive skills. These changes in the within occupational task mix result in an increased deployment of employees with high levels of education who have comparative advantages in performing non?repetitive cognitive tasks.

Suggested Citation

  • Spitz, Alexandra, 2003. "IT Capital, Job Content and Educational Attainment," ZEW Discussion Papers 03-04, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  • Handle: RePEc:zbw:zewdip:900
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    File URL: https://www.econstor.eu/bitstream/10419/24808/1/dp0304.pdf
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    References listed on IDEAS

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    1. Edward N. Wolff, 1995. "Technology and the Demand for Skills," Economics Working Paper Archive wp_153, Levy Economics Institute.
    2. Lucy Chennells & John Van Reenen, 1999. "Has technology hurt less skilled workers? A survey of the micro-econometric evidence," IFS Working Papers W99/27, Institute for Fiscal Studies.
    3. Bresnahan, Timothy F, 1999. "Computerisation and Wage Dispersion: An Analytical Reinterpretation," Economic Journal, Royal Economic Society, vol. 109(456), pages 390-415, June.
    4. Ernst R. Berndt & Catherine J. Morrison & Larry S. Rosenblum, 1992. "High-Tech Capital Formation and Labor Composition in U.S. Manufacturing Industries: An Exploratory Analysis," NBER Working Papers 4010, National Bureau of Economic Research, Inc.
    5. Stasz, Cathleen, 2001. "Assessing Skills for Work: Two Perspectives," Oxford Economic Papers, Oxford University Press, vol. 53(3), pages 385-405, July.
    6. Falk, Martin, 2001. "Diffusion of information technology, internet use and the demand of heterogeneous labor," ZEW Discussion Papers 01-48, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
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    Citations

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    Cited by:

    1. Borghans, Lex & ter Weel, Bas, 2007. "The diffusion of computers and the distribution of wages," European Economic Review, Elsevier, vol. 51(3), pages 715-748, April.
    2. Adriaan Zon & Roberto Antonietti, 2016. "Education and training in a model of endogenous growth with creative wear-and-tear," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 33(1), pages 35-62, April.
    3. Maarten Goos & Alan Manning, 2007. "Lousy and Lovely Jobs: The Rising Polarization of Work in Britain," The Review of Economics and Statistics, MIT Press, vol. 89(1), pages 118-133, February.
    4. Schleife, Katrin, 2005. "Computer Use and the Employment Status of Older Workers - An Analysis Based on Individual Data," Darmstadt Discussion Papers in Economics 145, Darmstadt University of Technology, Department of Law and Economics.
    5. R. Antonietti, 2006. "The skill content of technological change. Some conjectures on the role of education and job-training in reducing the timing of new technology adoption," Working Papers 556, Dipartimento Scienze Economiche, Universita' di Bologna.

    More about this item

    Keywords

    skill-biased technological change; job task content; vocational education;

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General

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