| No | SDES-2021-5 |
|---|---|
| Title | Robots and Unemployment |
| Author | Noritaka Kudoh and Hiroaki Miyamoto |
| Abstract | This paper studies the impact of the robotics revolution on the labor market outcomes through the lens of capital-augmenting technological progress. We develop a tractable search-matching model with labor market segmentation and multi-factor production to find the condition under which the new technology harms the labor market in the long run. The robotics revolution hits the labor market for routine-task intensive jobs harder under a more generous unemployment policy. Automation of abstract tasks may cause a disaster for those who are reallocated to routine-task intensive occupations. |
| Revised version published in |