robots; automation; tasks; income inequality; wage inequality; microsimulation; UNTANGLED
Abstract :
[en] We study the effects of robot penetration on household income inequality in 14 European countries between 2006–2018, a period marked by the rapid adoption of industrial robots. Automation reduced relative hourly wages and employment of more exposed demographic groups, similarly to the results for the United States. Using robot-driven wage and employment shocks as input to the EUROMOD microsimulation model, we find that automation had minor effects on income inequality. Household labour income diversification and tax and welfare policies largely absorbed labour market shocks caused by automation. Transfers played a key role in cushioning the transmission of these shocks to household incomes.
Disciplines :
Special economic topics (health, labor, transportation...)
Author, co-author :
Doorley, Karina
Gromadzki, Jan
Lewandowski, Piotr
Tuda, Dora
VAN KERM, Philippe ; University of Luxembourg > Faculty of Humanities, Education and Social Sciences (FHSE) > Department of Social Sciences (DSOC) > Socio-Economic Inequality ; LISER - Luxembourg Institute of Socio-Economic Research [LU]
H2020 - 101004776 - UNTANGLED - Untangling the impacts of technological transformations, globalisation and demographic change to foster shared prosperity in Europe