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Assessment of Age-related Changes in Cognitive Functions Using EmoCogMeter, a Novel Tablet-computer Based Approach

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Computerization, Obsolescence and the Length of Working Life.

Péter Hudomiet¹, Robert J Willis²

¹RAND.

Labour Economics

|April 10, 2023

Summary

This summary is machine-generated.

Computerization created a temporary skills gap for older workers, negatively impacting wages and increasing exits from employment. This effect was more pronounced for females and middle-skilled employees.

Keywords:

J14 J24 J26 J31 occupation retirement skills technology

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Published on: February 13, 2020

Area of Science:

Economics
Labor Economics
Sociology of Work

Background:

The rapid advancement of computer technology has significantly altered the labor market.
Understanding the differential impact of technological change on various demographic groups is crucial for effective policy-making.

Purpose of the Study:

To analyze the impact of computerization on the labor market outcomes of older workers in the United States.
To investigate the role of the computerization knowledge gap in wage and employment transitions for older workers.

Main Methods:

Utilized data from the Current Population Survey (CPS) computerization supplements and the Health and Retirement Study (HRS).
Employed econometric models controlling for occupation and time fixed effects, and occupation-time interactions.
Used middle-aged workers (40-49) as a control group to assess the impact on older workers.

Main Results:

Identified a temporary knowledge gap in computer adoption between younger and older workers across occupations.
Found robust negative effects of this knowledge gap on older workers' wages.
Observed a significant, temporary increase in transitions from employment to non-participation for older workers.

Conclusions:

Computerization led to skill obsolescence for older workers experiencing it later in their careers, consistent with creative destruction.
The negative labor market impacts of computerization were more substantial for female and middle-skilled workers.