Technical Change, Learning, and Wages

26 Pages Posted: 27 Dec 2010

See all articles by Ann P. Bartel

Ann P. Bartel

Columbia Business School - Finance and Economics; National Bureau of Economic Research (NBER)

Frank R. Lichtenberg

Columbia Business School - Finance and Economics; National Bureau of Economic Research (NBER); CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Date Written: October 1988

Abstract

This paper examines the relationship between technological change and wages using pooled cross-sectional industry-level data and several alternative indicators of the rate of introduction of new technology. Our main finding is that industries with a high rate of technical change pay higher wages to workers of given age and education, compared to less technologically advanced industries. This is Consistent with the notion that the introduction of new technology creates a demand for learning, that learning is a function of employee ability and effort, and that increases in wages are required to elicit increases in ability and effort. A related finding is that the wages of highly educated workers (especially recent graduates) relative to those of less educated workers are highest in technologically advanced industries; this is consistent with the notion that educated workers are better learners.

Suggested Citation

Bartel, Ann P. and Lichtenberg, Frank R., Technical Change, Learning, and Wages (October 1988). NBER Working Paper No. w2732, Available at SSRN: https://ssrn.com/abstract=1729072

Ann P. Bartel (Contact Author)

Columbia Business School - Finance and Economics ( email )

3022 Broadway
New York, NY 10027
United States

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Frank R. Lichtenberg

Columbia Business School - Finance and Economics ( email )

3022 Broadway
504 Uris Hall, Dept. of Finance & Economics
New York, NY 10027
United States
212-854-4408 (Phone)
212-316-9219 (Fax)

HOME PAGE: http://https://www8.gsb.columbia.edu/cbs-directory/detail/frl1

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

CESifo (Center for Economic Studies and Ifo Institute for Economic Research)

Poschinger Str. 5
Munich, DE-81679
Germany

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
10
Abstract Views
437
PlumX Metrics