Automation, Job Polarisation, and Structural Change

Robots and Wages: A Meta-Analysis1

“…The magnitude of that effect is albeit small and less robust than one might expect in light of the widespread assumption of SBTC in theoretical models incorporating automation (e.g. Fierro et al, 2022;Prettner and Strulik, 2020;Lankisch et al, 2019). Although, we find evidence for more positive wage outcomes in the non-manufacturing sector, our meta-regression results for skill groups do not support job/wage polarization due to a rise of service occupations as hypothesised by Autor and Dorn (2013).…”

“…Interestingly, despite the widespread view of skill-biased technological change in the economic literature on automation (e.g. Fierro et al, 2022;Prettner and Strulik, 2020;Lankisch et al, 2019), none of our moderator variables capturing these research dimensions have robust results. We only find few indications that industrial automation the wage of workers with low educational attainment (Table C1).…”

Mind the Knowledge Gap!The Origins of Declining Business Dynamism in a Macroagent-Based Model

“…We build on this insight but in a different setting, exploiting the granularity and flexibility of the agent-based approach to represent a detailed process of knowledge generation and diffusion, grounded on the distinction between producers of new technology (innovators) and adopters (entrepreneurs). We contribute, therefore, also to the growing body of literature on agent-based macroeconomics (Delli Gatti et al, 2011Dawid and Delli Gatti, 2018;Dosi and Roventini, 2019), with a special focus on technical change, growth and inequality (Dawid, 2006;Russo et al, 2007;Caiani et al, 2019;Dosi et al, 2021;Bertani et al, 2021;Fanti, 2021;Fierro et al, 2022;Terranova and Turco, 2022). In particular, our paper closely aligns with research that emphasizes the importance of complementary skills and accumulated knowledge in driving technology adoption and industrial dynamics (Dawid et al, 2019;Hötte, 2020;Dosi et al, 2022).…”

Effects of technological change and automation on industry structure and (wage-)inequality: insights from a dynamic task-based model

“…B t = B ∀t. Holding the consumption budget constant allows us to focus on the supply side effects of different types of automation (and shuts off demand side channels associated with automation studied, e.g., by Fierro et al (2022) or Dosi et al (2022)). Following an approach similar to Acemoglu and Autor (2011); Restrepo (2018a, b, 2019a), we also assume that different tasks have to be carried out in order to produce the consumption good.…”

“…Robotization, however, also leads to the emergence of new sectors where labor shortage leads to price-wage spirals pushing up wages. Fierro et al (2022) also base their analysis on a multi-sector model. Workers have heterogeneous skills and firms post vacancies requiring different skills due to an endogenous skill-biased technological change.…”