Who gains from computer use? - ARCHIVED

Workers who use computers earn more than those who do not. Is this a productivity effect or merely selection (that is, workers selected to use computers are more productive to begin with). After controlling for selection, the average worker enjoys a wage premium of 3.8% upon adopting a computer. This premium, however, obscures important differences by education and occupation. Long-run returns to computer use are over 5% for most workers. Differences between short-run and long-run returns suggest that workers may share training costs through sacrificed wages.