Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/322984 
Year of Publication: 
2018
Series/Report no.: 
U.S.E. Working Papers Series No. 18-07
Publisher: 
Utrecht University, Utrecht University School of Economics (U.S.E.), Utrecht
Abstract: 
A fast-growing literature shows that digital technologies are displacing labor from routine tasks, raising concerns that labor is racing against the machine. We develop a task-based framework to estimate the aggregate labor demand and employment effects of routine replacing technological change (RRTC), along with the underlying mechanisms. We show that while RRTC has indeed had strong displacement effects in the European Union between 1999 and 2010, it has simultaneously created new jobs through increased product demand, outweighing displacement effects and resulting in net employment growth. However, we also show that this finding depends on the distribution of gains from technological progress
Subjects: 
Labor Demand
Employment
Routine-Replacing Technological Change
Tasks
Local Demand Spillovers
T
Document Type: 
Working Paper

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