The Historical Influence of Computer Use at Work on Income in the Late Twentieth Century

  • Authors:
  • Sylvia E. Peacock

  • Affiliations:
  • Erfurt University, Germany

  • Venue:
  • Social Science Computer Review
  • Year:
  • 2008

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Abstract

This article offers information on historical shifts of socioeconomic positions caused by the diffusion of computers into the labor market. An account of the effects of using computers at work on gross monthly wages is offered, capturing significant changes over time within two decades (1979 to 1999). Empirical analyses are based on four large German labor market censuses. Results sustain the theoretical notion that early adopters receive a risk premium for using information technology, supporting the modernization hypothesis. Positive effects of computer training on income levels are found. Large gender income gaps are substantiated. Over time, income premiums for workers in the information segment increase. Indications for the downscaling of computerized jobs in the information segment are detected.