Automation and unemployment: help is on the way

Nakamura, Hideki; Zeira, Joseph

doi:10.1007/s10887-023-09233-9

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Cited by 7 publications

References 65 publications

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Automation, Tasks, and Labor Share

Muro

2024

Structural Change, Market Concentration, and Inequality

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Automation, Tasks, and Labor Share

Muro

2024

Structural Change, Market Concentration, and Inequality

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Unraveling wage inequality: tangible and intangible assets, globalization and labor market regulations

Gravina,

Foster-McGregor

2024

Empir Econ

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In this paper, we study the asymmetric effects of different types of capital-embodied technological change, as proxied by tangible and intangible assets, on relative wages (high- to medium-skilled, high- to low-skilled and medium- to low-skilled workers), relying upon the technology-skill complementarity and polarization of the labor force frameworks. We also consider two additional major channels that contribute to shaping wage differentials: globalization (in terms of trade openness and global value chains participation) and labor market institutions. The empirical analysis is carried out using a panel dataset comprising 17 mostly advanced European economies and 5 industries, with annual observations spanning the period 2008–2017. Our findings suggest that software and databases—as a proxy for intangible technologies—exert downward pressure on low-skilled wages, while robotics is associated with a polarization of the wage distribution at the expense of middle-skilled labor. Additionally, less-skilled workers’ relative wages are negatively affected by trade openness and global value chain participation, but positively influenced by sector-specific labor market regulations.

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