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The Impact of Computer Use On Earnings in the UK

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  • G.R. Arabsheibani
  • J.M. Emami
  • A. Marin

Abstract

The effect of new technology on relative demands for workers has been the subject of much research in economics. Krueger (1993) and others have studied the impact of computers on earnings in the US and elsewhere. Such studies have been criticised for ignoring the possibility of bias due to unobserved heterogeneity between computer users and non‐users, resulting in computer users not being a random sub‐sample of all workers. As well as looking at the effects of computers on earnings in the UK, this paper extends previous analyses by using a sample selection framework to deal with the bias problem. Results indicate not only that returns to computer use are positive but that it is important to correct for the sample selection bias.

Suggested Citation

  • G.R. Arabsheibani & J.M. Emami & A. Marin, 2004. "The Impact of Computer Use On Earnings in the UK," Scottish Journal of Political Economy, Scottish Economic Society, vol. 51(1), pages 82-94, February.
    • Handle: RePEc:bla:scotjp:v:51:y:2004:i:1:p:82-94
    DOI: 10.1111/j.0036-9292.2004.05101005.x
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    References listed on IDEAS

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    2. 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.
    3. Giorgio Pietro, 2007. "The effect of computer use on earnings in Italy," Empirical Economics, Springer, vol. 33(2), pages 245-262, September.
    4. Mathias Silva, 2016. "TIC y Desigualdad Salarial en Uruguay," Documentos de Investigación Estudiantil (students working papers) 16-06, Instituto de Economía - IECON.
    5. David Kaplan & Karen Mossberger, 2012. "Prospects for Poor Neighborhoods in the Broadband Era," Economic Development Quarterly, , vol. 26(1), pages 95-105, February.
    6. Joaquin Marandino & Phanindra V. Wunnava, 2017. "The Effect of Access to Information and Communication Technology on Household Labor Income: Evidence from One Laptop Per Child in Uruguay," Economies, MDPI, vol. 5(3), pages 1-10, September.
    7. G. Reza Arabsheibani & Alan Marin, 2006. "If not computers then what? Returns to computer use in the UK revisited," Applied Economics, Taylor & Francis Journals, vol. 38(21), pages 2461-2467.
    8. Oosterbeek, Hessel & Ponce, Juan, 2011. "The impact of computer use on earnings in a developing country: Evidence from Ecuador," Labour Economics, Elsevier, vol. 18(4), pages 434-440, August.
    9. Chiswick, Barry R. & Miller, Paul W., 2005. "Computer Skills, Destination Language Proficiency and the Earnings of Natives and Immigrants," IZA Discussion Papers 1755, Institute of Labor Economics (IZA).

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