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Use IT or lose IT?: the impact of computers on earnings

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  • Dolton, Peter
  • Makepeace, Gerry
  • Robinson, Helen

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.

Suggested Citation

  • Dolton, Peter & Makepeace, Gerry & Robinson, Helen, 2007. "Use IT or lose IT?: the impact of computers on earnings," LSE Research Online Documents on Economics 19387, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:19387
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    File URL: http://eprints.lse.ac.uk/19387/
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    References listed on IDEAS

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    1. Alan B. Krueger, 1993. "How Computers Have Changed the Wage Structure: Evidence from Microdata, 1984–1989," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 108(1), pages 33-60.
    2. Helen Robinson, 2003. "Gender and Labour Market Performance in the Recovery," Palgrave Macmillan Books, in: Richard Dickens & Paul Gregg & Jonathan Wadsworth (ed.), The Labour Market Under New Labour, chapter 15, pages 232-247, Palgrave Macmillan.
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    4. Per Krusell & Lee E. Ohanian & JosÈ-Victor RÌos-Rull & Giovanni L. Violante, 2000. "Capital-Skill Complementarity and Inequality: A Macroeconomic Analysis," Econometrica, Econometric Society, vol. 68(5), pages 1029-1054, September.
    5. David Card & John E. DiNardo, 2002. "Skill-Biased Technological Change and Rising Wage Inequality: Some Problems and Puzzles," Journal of Labor Economics, University of Chicago Press, vol. 20(4), pages 733-783, October.
    6. John E. DiNardo & Jörn-Steffen Pischke, 1997. "The Returns to Computer Use Revisited: Have Pencils Changed the Wage Structure Too?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 112(1), pages 291-303.
    7. 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. Lissitsa, Sabina & Chachashvili-Bolotin, Svetlana & Bokek-Cohen, Ya'arit, 2017. "Digital skills and extrinsic rewards in late career," Technology in Society, Elsevier, vol. 51(C), pages 46-55.
    2. Peter Dolton & Panu Pelkonen, 2007. "The Impact of Computer Use, Computer Skills and Computer Use Intensity: Evidence from WERS 2004," CEE Discussion Papers 0081, Centre for the Economics of Education, LSE.
    3. Giorgio Pietro, 2007. "The effect of computer use on earnings in Italy," Empirical Economics, Springer, vol. 33(2), pages 245-262, September.
    4. Peter Dolton & Panu Pelkonen, 2008. "The Wage Effects of Computer Use: Evidence from WERS 2004," British Journal of Industrial Relations, London School of Economics, vol. 46(4), pages 587-630, December.
    5. 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.
    6. Cindy Zoghi & Sabrina Wulff Pabilonia, 2007. "Which workers gain upon adopting a computer?," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 40(2), pages 423-444, May.
    7. Cindy Zoghi & Sabrina Wulff Pabilonia, 2007. "Which workers gain upon adopting a computer?," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 40(2), pages 423-444, May.
    8. repec:ebl:ecbull:v:10:y:2007:i:16:p:1-9 is not listed on IDEAS

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    More about this item

    Keywords

    ICT;

    JEL classification:

    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials

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