Wages, Productivity, and Technology: What Have We Learned from Micro Evidence for U.S. Manufacturing?
Striking changes in the structure of production, wages, and employment have occurred over the last several decades. The introduction of computers and, more generally, advanced technologies into the workplace is widely viewed as one of the major factors underlying these changes. In particular, the role of advanced technology and computers has been closely linked to the rising inequality of worker wages. One hypothesis is that the introduction of advanced technologies and/or computers has led to a rising demand for skilled workers that, in turn, has led to a rise in the wages of skilled workers relative to unskilled workers. A closely related hypothesis is that the introduction of advanced technologies and/or computers should have also been associated with rising productivity.
KeywordsAlan Berman Timothy
Unable to display preview. Download preview PDF.
- Baily, Martin N., Charles Hulten, and David Campbell. 1992. The distribution of productivity in manufacturing plants. Brookings Papers on Economic Activity: Microeconomics: 187–268.Google Scholar
- Bartelsman, Eric J., and Wayne Gray. 1996. The NBER manufacturing productivity database. NBER Technical Working Paper No. 205.Google Scholar
- Berndt, Ernst R., and Catherine J. Morrison. 1992. High-tech capital formation and aggregate economic performance in U.S. manufacturing industries: An exploratory analysis. NBER Working Paper.Google Scholar
- Bresnahan, Timothy, Erik Brynjolfsson, and Lorin Hitt. 1998. Information technology, workplace organization, and the demand for skilled labor: Firm-level evidence. Mimeographed.Google Scholar
- Davis, Steve J., and John Haltiwanger. 1991. Wage dispersion between and within U.S. manufacturing plants, 1963–1986. Brookings Papers on Economic Activity: Microeconomics: 115–200.Google Scholar
- -. 1996. Employer size and the wage structure in U.S. manufacturing. Annales D’Economie et de Statistique 41/42: 323–367.Google Scholar
- Dunne, Timothy, Lucia Foster, John Haltiwanger, and Kenneth Troske. 2001. Wage and productivity dispersion in U.S. manufacturing: The role of computer investment. NBER Working Paper No. 7465 (revised).Google Scholar
- Dwyer, Douglas. 1995. Whittling away at productivity dispersion. Center for Economic Studies Working Paper No. 95-5.Google Scholar
- Foster, Lucia, John Haltiwanger, and C.J. Krizan. Aggregate productivity growth: Lessons from microeconomic evidence. In New developments in productivity analysis, edited by Dean, Hulten, and Harper. Chicago: NBER/University of Chicago Press.Google Scholar
- Greenan, Nathalie, and Jacques Mairesse. 1996. Computers and productivity in France: Some evidence. NBER Working Paper No. 5836.Google Scholar
- -. 2000. Wages, productivity, and the dynamic interaction of businesses and workers. NBER Working Paper No. 7994.Google Scholar
- Kremer, Michael, and Eric Maskin. 1996. Wage inequality and segregation by skill. NBER Working Paper No. 5718.Google Scholar
- Lichtenberg, Frank R. 1992. The output contributions of computer equipment and personnel: A firm-level analysis. NBER Working Paper, No. 4540.Google Scholar
- Lucas, Robert. 1977. On the size distribution of firms. Bell Journal of Economics 9:508–23.Google Scholar
- Morrison, Catherine, and Ernst R. Berndt. 1991. Assessing the productivity of information technology equipment in U.S. manufacturing industries. NBER Working Paper No. 3582.Google Scholar
- Troske, Kenneth R. 1996. A note on computer investment in U.S. manufacturing. Center for Economic Studies, U.S. Bureau of the Census. Mimeographed.Google Scholar