Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/24300 
Year of Publication: 
1999
Series/Report no.: 
ZEW Discussion Papers No. 99-14
Publisher: 
Zentrum für Europäische Wirtschaftsforschung (ZEW), Mannheim
Abstract: 
This paperanalyses the link between human capitaland information technology(IT ) in the service production process. The analysis is based on 1994 cross-sectional data for 1929 German. Firms drawn from the first wave of the Mannheim Service Innovation Panel (MIP-S). Factor demand functions are used to analyse the determinants of the Firm-specific skillstructure. The empirical evidence indicates that firms with a higher IT investment to sales ratio employ a larger fraction of high-skilled workers. The relationship between IT investment and medium-skilled labour is rather weak while the unskilled labourshare is negatively related to the IT investment to sales ratio. U sing a translog production function to assess the productivity of different input factors, we find that human and informationcapital provide the most powerful contributions to output in the service sector.
Subjects: 
Information technology
skills
labour demand
service sector
JEL: 
L8
O33
J23
Document Type: 
Working Paper

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