Tag: Jobs

Automation and Jobs: When technology boosts employment

James Bessen

Will industries use new information technologies to eliminate jobs? Sometimes productivity-enhancing technology increases industry employment instead. In manufacturing, jobs grew along with productivity for a century or more; only later did productivity gains bring declining employment. What changed? Markets became saturated.

Research Summary: Why Isn’t Automation Creating Unemployment?

AI and Jobs: The Role of Demand

James Bessen

Artificial intelligence (AI) technologies will automate many jobs, but the effect on employment is not obvious. Although technology has sharply reduced jobs in manufacturing in recent decades, for over a century before that, employment grew, even in industries experiencing rapid technological change. This paper presents a simple model of the change in demand that accurately predicts the rise and fall of employment in the textile, steel and automotive industries, and will be useful for exploring how AI is likely to affect jobs over the next 10 or 20 years.