May 1, 2018

Technology impacts how we work 

Many feel anxious about the impact of new technology on their jobs. This is not new. In fact, it dates back at least to the Luddites movement at the outset of the Industrial Revolution. And it resurfaced during the Great Depression and again in the 1960s, following a period of high productivity growth, and in the 1980s at the outset of the IT revolution.

How can governments help? By investing in peoples’ skills.

A dramatic shift

In the past, technological advances have helped raise incomes for most. But we should not forget that the transitions involved—for workers, firms, sectors, and whole economies—have been difficult for many.

Many observers think the latest wave of technological innovation will be more disruptive than the ones in the past, especially for labor. They point to the timid growth of real wages and the falling labor share in national income in recent decades. New technological advances—in artificial intelligence, automation and robotics—might be even more dramatic. This is because of the presumed ease with which some technologies can substitute for a broad range of human skills. Den Rest des Beitrags lesen »