Earnings on the Information Technology Roller Coaster: Insight from Matched Employer-Employee Data

This article uses matched employer-employee data for the State of Georgia to examine workers' earnings experience through the information technology (IT) sector's employment boom of the mid-1990s and bust in the early 2000s. The results show that even after controlling for pre-boom individual characteristics, transitioning out of the IT sector to a non-IT industry generally resulted in a large wage penalty. However, IT service workers who transitioned to a non-IT industry still fared better than workers who took a non-IT employment path. For IT manufacturing workers, there is no benefit to having been touched by technology, likely because of the nontransferability of manufacturing experience to other industries.     

ADOPTION AND PRODUCTIVITY IMPACT OF MODERN RICE VARIETIES IN BANGLADESH

Technological progress has helped Bangladesh to achieve self‐sufficiency in rice production in 2001 from a heavy import‐dependence, despite doubling of population and a reduction in arable land since its independence in 1971. As the adoption of modern varieties (MV) of rice is reaching a plateau, particularly for the irrigated ecosystem, an important issue is whether the research system will be able to sustain the growth of production. The present paper addresses the following questions: (i) to what extent farmers have been replacing the old MV with the new MV, and (ii) what has been the impact of the variety replacement on productivity and profitability. How crucial is the continuous research and release of improved rice varieties toward improving farm production and income for farmers comes out as a clear message to policymakers from the current paper.     

POST-CHANDLERIAN FIRMS: TECHNOLOGICAL CHANGE AND FIRM BOUNDARIES

While the Chandlerian firm has come to dominate large sectors of advanced economies, recent studies have shown that the properties of knowledge used by firms, the dynamic nature of transaction costs, and the impact of information and communication technologies on organisations might reduce firm scale and scope. We present a contingent model of firm boundaries that explains why, as a result of technological change, firms might simultaneously outsource some activities that they had formerly preferred to produce in-house while increasing their vertical integration in other areas. We support our conclusions with evidence from different industries.     

Unilateral and bilateral trade policies for a minimum-wage economy

This paper considers optimal commercial policy for a trading economy which departs from neo-classical characteristics only in that a minimum-wage constraint gives rise to unemployment. Although for a flexible-wage fully employed economy the Baldwin envelope yields dominant domestic production-cum-trade possibilities, unilateral imposition of an optimum tariff is shown not necessarily to be optimal commercial policy for the minimum-wage economy. Rather, there exists an envelope, derived from foreigners' trade indifference and attained via bilateral trade policy, which dominates the Baldwin envelope when the optimum tariff is zero (as Brecher has shown it can be for a minimum-wage economy), and can still yield superior production-cum-trade possibilities when the optimum tariff is non-zero.     

SOME RECENT RESEARCH INTO HOME HEATING

As part of an investigation into the performance of heating systems and the effectiveness of energy saving measures, temperatures have been monitored in forty centrally heated homes. The addition of extra insulation had no effect on the way people operated their heating system or on the temperature level set in the main living room. However, bedrooms were warmer and the importance of individual room temperature controls demonstrated. Differences between people's thermal requirements in domestic and office environments are considered.