Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/272389 
Year of Publication: 
2022
Series/Report no.: 
IZA Discussion Papers No. 15762
Publisher: 
Institute of Labor Economics (IZA), Bonn
Abstract: 
We utilize a new survey on Norwegian firms' digitalization and technology investments, linked to population-wide register data, to show that the pandemic massively disrupted the technology investment plans of firms, not only postponing investments, but also introducing new technologies. More productive firms innovated, while less productive firms postponed investments. Most innovations were permanent, not due to acceleration of existing plans, thus the pandemic yields longterm influence in directions unanticipated before the pandemic. The new technologies are associated with increased labour demand for skilled workers, and reduced demand for unskilled workers, particularly for the more productive firms.
Subjects: 
technology investments
digitalization
labour demand
pandemic
COVID-19
JEL: 
D22
D24
F14
L11
L60
Document Type: 
Working Paper

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