Robotics in Labor Market

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Robots at the Ready

June 9, 2022

Carolyn Jung
Nob Hill Gazette

Between the pandemic and the labor shortage, automation is having a moment. As help wanted signs remain pervasive, could robots hold the solution — or even a partial one — to the Great American Labor Shortage rocking the hospitality industry? After all, they don’t get sick (though they may break down), take vacation time or need to earn enough to afford the Bay Area’s astronomical housing costs.“It’s possible at some unknown future time that robots will replace humans, but we’re pretty far away from that,” says professor Richard...

Read more about Robots at the Ready
From Immigrants to Robots: The Changing Locus of Substitutes for Workers
Richard B. Freeman and George J. Borjas. 1/2019. “From Immigrants to Robots: The Changing Locus of Substitutes for Workers”. Publisher's VersionAbstract
Increased use of robots has roused concern about how robots and other new technologies change the world of work. Using numbers of robots shipped to primarily manufacturing industries as a supply shock to an industry labor market, we estimate that an additional robot reduces employment and wages in an industry by roughly as much as an additional 2 to 3 workers and by 3 to 4 workers in particular groups, which far exceed estimated effects of an additional immigrant on employment and wages. While the growth of robots in the 1996-2016 period of our data was too modest to be a major determinant of wages and employment, the estimated coefficients suggest that continued exponential growth of robots could disrupt job markets in the foreseeable future and thus merit attention from labor analysts.