Effects of technological change and automation on industry structure and (wage-)inequality: insights from a dynamic task-based model

The advent of artificial intelligence is changing the task allocation of workers and machines in firms' production processes with potentially wide ranging effects on workers and firms. We develop an agent-based simulation framework to investigate the consequences of different types of automatio...

Full description

Saved in:
Bibliographic Details
Published in:Journal of evolutionary economics 2023-01, Vol.33 (1), p.35-63
Main Authors: Dawid, Herbert, Neugart, Michael
Format: Article
Language:English
Subjects:
Artificial intelligence
Automation
Change agents
Companies
Competitiveness
Consumption
Economic Growth
Economic Theory/Quantitative Economics/Mathematical Methods
Economics
Economics and Finance
Employment
Entrepreneurship
Firm dynamics
Income distribution
Inequality
Institutional/Evolutionary Economics
Investigations
Job creation
Labor economics
Labor market
Macroeconomics
Market entry
Microeconomics
Occupations
Productivity
R & D/Technology Policy
Regular Article
Simulation
Skills
Task allocation
Tasks
Technological change
Wage inequality
Wages & salaries
Workers
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
cited_by cdi_FETCH-LOGICAL-c475t-37324180e7f3de92661101350fc9901767f39c894ee30efdcc9bf1e008ad822e3
cites cdi_FETCH-LOGICAL-c475t-37324180e7f3de92661101350fc9901767f39c894ee30efdcc9bf1e008ad822e3
container_end_page 63
container_issue 1
container_start_page 35
container_title Journal of evolutionary economics
container_volume 33
creator Dawid, Herbert
Neugart, Michael
description The advent of artificial intelligence is changing the task allocation of workers and machines in firms' production processes with potentially wide ranging effects on workers and firms. We develop an agent-based simulation framework to investigate the consequences of different types of automation for industry output, the wage distribution, the labor share, and industry dynamics. It is shown how the competitiveness of markets, in particular barriers to entry, changes the effects that automation has on various outcome variables, and to which extent heterogeneous workers with distinct general skill endowments and heterogeneous firms featuring distinct wage offer rules affect the channels via which automation changes market outcomes.
doi_str_mv 10.1007/s00191-022-00803-5
format article
fullrecord <record><control><sourceid>proquest_cross</sourceid><recordid>TN_cdi_proquest_journals_2781919750</recordid><sourceformat>XML</sourceformat><sourcesystem>PC</sourcesystem><sourcerecordid>2781919750</sourcerecordid><originalsourceid>FETCH-LOGICAL-c475t-37324180e7f3de92661101350fc9901767f39c894ee30efdcc9bf1e008ad822e3</originalsourceid><addsrcrecordid>eNp9kE1LBSEUhoco6PMPBIHQphbWUe9cZ9pF9AVBm1qLOcd7rRktdYi774dnTVCrQDwiz_seeKpqn8EJA5CnCYC1jALnFKABQeu1aovNBKdMNPP1P-_NajulZwCoOcit6uPSWjQ5kWBJRrP0oQ8LZ3RPzFL7BRLtO6LHHAadXfCkHOe7MeW4IuUaTR7jBB296wXSY-fxbdS9y6uzQia3WJZyG8NANOlWXg_OkKzTC33SCTsyhA773WrD6j7h3s_cqR6vLh8ubujd_fXtxfkdNTNZZyqk4DPWAEorOmz5fM4YMFGDNW0LTM7Lf2uadoYoAG1nTPtkGRYhums4R7FTHU69rzG8jZiyeg5j9GWl4rIpAltZQ6H4RJkYUopo1Wt0g44rxUB92VaTbVVsq2_bqi4hMYVSgYu3-Fv9b-pgSqEJ3iX1NVIOUQmoGybFJyHCjYc</addsrcrecordid><sourcetype>Aggregation Database</sourcetype><iscdi>true</iscdi><recordtype>article</recordtype><pqid>2781919750</pqid></control><display><type>article</type><title>Effects of technological change and automation on industry structure and (wage-)inequality: insights from a dynamic task-based model</title><source>EBSCOhost Business Source Ultimate</source><source>International Bibliography of the Social Sciences (IBSS)</source><source>EBSCOhost Econlit with Full Text</source><source>ABI/INFORM Global</source><source>Springer Nature</source><creator>Dawid, Herbert ; Neugart, Michael</creator><creatorcontrib>Dawid, Herbert ; Neugart, Michael</creatorcontrib><description>The advent of artificial intelligence is changing the task allocation of workers and machines in firms' production processes with potentially wide ranging effects on workers and firms. We develop an agent-based simulation framework to investigate the consequences of different types of automation for industry output, the wage distribution, the labor share, and industry dynamics. It is shown how the competitiveness of markets, in particular barriers to entry, changes the effects that automation has on various outcome variables, and to which extent heterogeneous workers with distinct general skill endowments and heterogeneous firms featuring distinct wage offer rules affect the channels via which automation changes market outcomes.</description><identifier>ISSN: 1432-1386</identifier><identifier>ISSN: 0936-9937</identifier><identifier>EISSN: 1432-1386</identifier><identifier>DOI: 10.1007/s00191-022-00803-5</identifier><language>eng</language><publisher>Berlin, Heidelberg: Springer</publisher><subject>Artificial intelligence ; Automation ; Change agents ; Companies ; Competitiveness ; Consumption ; Economic Growth ; Economic Theory/Quantitative Economics/Mathematical Methods ; Economics ; Economics and Finance ; Employment ; Entrepreneurship ; Firm dynamics ; Income distribution ; Inequality ; Institutional/Evolutionary Economics ; Investigations ; Job creation ; Labor economics ; Labor market ; Macroeconomics ; Market entry ; Microeconomics ; Occupations ; Productivity ; R &amp; D/Technology Policy ; Regular Article ; Simulation ; Skills ; Task allocation ; Tasks ; Technological change ; Wage inequality ; Wages &amp; salaries ; Workers</subject><ispartof>Journal of evolutionary economics, 2023-01, Vol.33 (1), p.35-63</ispartof><rights>The Author(s) 2022</rights><rights>The Author(s) 2022. This work is published under http://creativecommons.org/licenses/by/4.0/ (the “License”). Notwithstanding the ProQuest Terms and Conditions, you may use this content in accordance with the terms of the License.</rights><lds50>peer_reviewed</lds50><oa>free_for_read</oa><woscitedreferencessubscribed>false</woscitedreferencessubscribed><citedby>FETCH-LOGICAL-c475t-37324180e7f3de92661101350fc9901767f39c894ee30efdcc9bf1e008ad822e3</citedby><cites>FETCH-LOGICAL-c475t-37324180e7f3de92661101350fc9901767f39c894ee30efdcc9bf1e008ad822e3</cites><orcidid>0000-0002-3348-8570 ; 0000-0002-8536-9960</orcidid></display><links><openurl>$$Topenurl_article</openurl><openurlfulltext>$$Topenurlfull_article</openurlfulltext><thumbnail>$$Tsyndetics_thumb_exl</thumbnail><linktopdf>$$Uhttps://www.proquest.com/docview/2781919750/fulltextPDF?pq-origsite=primo$$EPDF$$P50$$Gproquest$$H</linktopdf><linktohtml>$$Uhttps://www.proquest.com/docview/2781919750?pq-origsite=primo$$EHTML$$P50$$Gproquest$$H</linktohtml><link.rule.ids>314,780,784,11687,12846,27923,27924,33222,36059,44362,74666</link.rule.ids></links><search><creatorcontrib>Dawid, Herbert</creatorcontrib><creatorcontrib>Neugart, Michael</creatorcontrib><title>Effects of technological change and automation on industry structure and (wage-)inequality: insights from a dynamic task-based model</title><title>Journal of evolutionary economics</title><addtitle>J Evol Econ</addtitle><description>The advent of artificial intelligence is changing the task allocation of workers and machines in firms' production processes with potentially wide ranging effects on workers and firms. We develop an agent-based simulation framework to investigate the consequences of different types of automation for industry output, the wage distribution, the labor share, and industry dynamics. It is shown how the competitiveness of markets, in particular barriers to entry, changes the effects that automation has on various outcome variables, and to which extent heterogeneous workers with distinct general skill endowments and heterogeneous firms featuring distinct wage offer rules affect the channels via which automation changes market outcomes.</description><subject>Artificial intelligence</subject><subject>Automation</subject><subject>Change agents</subject><subject>Companies</subject><subject>Competitiveness</subject><subject>Consumption</subject><subject>Economic Growth</subject><subject>Economic Theory/Quantitative Economics/Mathematical Methods</subject><subject>Economics</subject><subject>Economics and Finance</subject><subject>Employment</subject><subject>Entrepreneurship</subject><subject>Firm dynamics</subject><subject>Income distribution</subject><subject>Inequality</subject><subject>Institutional/Evolutionary Economics</subject><subject>Investigations</subject><subject>Job creation</subject><subject>Labor economics</subject><subject>Labor market</subject><subject>Macroeconomics</subject><subject>Market entry</subject><subject>Microeconomics</subject><subject>Occupations</subject><subject>Productivity</subject><subject>R &amp; D/Technology Policy</subject><subject>Regular Article</subject><subject>Simulation</subject><subject>Skills</subject><subject>Task allocation</subject><subject>Tasks</subject><subject>Technological change</subject><subject>Wage inequality</subject><subject>Wages &amp; salaries</subject><subject>Workers</subject><issn>1432-1386</issn><issn>0936-9937</issn><issn>1432-1386</issn><fulltext>true</fulltext><rsrctype>article</rsrctype><creationdate>2023</creationdate><recordtype>article</recordtype><sourceid>8BJ</sourceid><sourceid>M0C</sourceid><recordid>eNp9kE1LBSEUhoco6PMPBIHQphbWUe9cZ9pF9AVBm1qLOcd7rRktdYi774dnTVCrQDwiz_seeKpqn8EJA5CnCYC1jALnFKABQeu1aovNBKdMNPP1P-_NajulZwCoOcit6uPSWjQ5kWBJRrP0oQ8LZ3RPzFL7BRLtO6LHHAadXfCkHOe7MeW4IuUaTR7jBB296wXSY-fxbdS9y6uzQia3WJZyG8NANOlWXg_OkKzTC33SCTsyhA773WrD6j7h3s_cqR6vLh8ubujd_fXtxfkdNTNZZyqk4DPWAEorOmz5fM4YMFGDNW0LTM7Lf2uadoYoAG1nTPtkGRYhums4R7FTHU69rzG8jZiyeg5j9GWl4rIpAltZQ6H4RJkYUopo1Wt0g44rxUB92VaTbVVsq2_bqi4hMYVSgYu3-Fv9b-pgSqEJ3iX1NVIOUQmoGybFJyHCjYc</recordid><startdate>20230101</startdate><enddate>20230101</enddate><creator>Dawid, Herbert</creator><creator>Neugart, Michael</creator><general>Springer</general><general>Springer Berlin Heidelberg</general><general>Springer Nature B.V</general><scope>OT2</scope><scope>C6C</scope><scope>AAYXX</scope><scope>CITATION</scope><scope>3V.</scope><scope>7WY</scope><scope>7WZ</scope><scope>7X5</scope><scope>7XB</scope><scope>87Z</scope><scope>88G</scope><scope>8A3</scope><scope>8AO</scope><scope>8BJ</scope><scope>8FI</scope><scope>8FJ</scope><scope>8FK</scope><scope>8FL</scope><scope>8G5</scope><scope>ABUWG</scope><scope>AFKRA</scope><scope>AZQEC</scope><scope>BENPR</scope><scope>BEZIV</scope><scope>CCPQU</scope><scope>DWQXO</scope><scope>FQK</scope><scope>FRNLG</scope><scope>FYUFA</scope><scope>F~G</scope><scope>GHDGH</scope><scope>GNUQQ</scope><scope>GUQSH</scope><scope>JBE</scope><scope>K60</scope><scope>K6~</scope><scope>L.-</scope><scope>M0C</scope><scope>M2M</scope><scope>M2O</scope><scope>MBDVC</scope><scope>PQBIZ</scope><scope>PQBZA</scope><scope>PQEST</scope><scope>PQQKQ</scope><scope>PQUKI</scope><scope>PSYQQ</scope><scope>Q9U</scope><orcidid>https://orcid.org/0000-0002-3348-8570</orcidid><orcidid>https://orcid.org/0000-0002-8536-9960</orcidid></search><sort><creationdate>20230101</creationdate><title>Effects of technological change and automation on industry structure and (wage-)inequality: insights from a dynamic task-based model</title><author>Dawid, Herbert ; Neugart, Michael</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-c475t-37324180e7f3de92661101350fc9901767f39c894ee30efdcc9bf1e008ad822e3</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2023</creationdate><topic>Artificial intelligence</topic><topic>Automation</topic><topic>Change agents</topic><topic>Companies</topic><topic>Competitiveness</topic><topic>Consumption</topic><topic>Economic Growth</topic><topic>Economic Theory/Quantitative Economics/Mathematical Methods</topic><topic>Economics</topic><topic>Economics and Finance</topic><topic>Employment</topic><topic>Entrepreneurship</topic><topic>Firm dynamics</topic><topic>Income distribution</topic><topic>Inequality</topic><topic>Institutional/Evolutionary Economics</topic><topic>Investigations</topic><topic>Job creation</topic><topic>Labor economics</topic><topic>Labor market</topic><topic>Macroeconomics</topic><topic>Market entry</topic><topic>Microeconomics</topic><topic>Occupations</topic><topic>Productivity</topic><topic>R &amp; D/Technology Policy</topic><topic>Regular Article</topic><topic>Simulation</topic><topic>Skills</topic><topic>Task allocation</topic><topic>Tasks</topic><topic>Technological change</topic><topic>Wage inequality</topic><topic>Wages &amp; salaries</topic><topic>Workers</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Dawid, Herbert</creatorcontrib><creatorcontrib>Neugart, Michael</creatorcontrib><collection>EconStor</collection><collection>SpringerOpen</collection><collection>CrossRef</collection><collection>ProQuest Central (Corporate)</collection><collection>ABI/INFORM Collection</collection><collection>ABI/INFORM Global (PDF only)</collection><collection>Entrepreneurship Database</collection><collection>ProQuest Central (purchase pre-March 2016)</collection><collection>ABI/INFORM Global (Alumni Edition)</collection><collection>Psychology Database (Alumni)</collection><collection>Entrepreneurship Database (Alumni Edition)</collection><collection>ProQuest Pharma Collection</collection><collection>International Bibliography of the Social Sciences (IBSS)</collection><collection>Hospital Premium Collection</collection><collection>Hospital Premium Collection (Alumni Edition)</collection><collection>ProQuest Central (Alumni) (purchase pre-March 2016)</collection><collection>ABI/INFORM Collection (Alumni Edition)</collection><collection>Research Library (Alumni Edition)</collection><collection>ProQuest Central (Alumni)</collection><collection>ProQuest Central</collection><collection>ProQuest Central Essentials</collection><collection>ProQuest Central</collection><collection>ProQuest Business Premium Collection</collection><collection>ProQuest One Community College</collection><collection>ProQuest Central</collection><collection>International Bibliography of the Social Sciences</collection><collection>Business Premium Collection (Alumni)</collection><collection>Health Research Premium Collection</collection><collection>ABI/INFORM Global (Corporate)</collection><collection>Health Research Premium Collection (Alumni)</collection><collection>ProQuest Central Student</collection><collection>Research Library Prep</collection><collection>International Bibliography of the Social Sciences</collection><collection>ProQuest Business Collection (Alumni Edition)</collection><collection>ProQuest Business Collection</collection><collection>ABI/INFORM Professional Advanced</collection><collection>ABI/INFORM Global</collection><collection>Psychology Database</collection><collection>Research Library</collection><collection>Research Library (Corporate)</collection><collection>One Business</collection><collection>ProQuest One Business (Alumni)</collection><collection>ProQuest One Academic Eastern Edition (DO NOT USE)</collection><collection>ProQuest One Academic</collection><collection>ProQuest One Academic UKI Edition</collection><collection>ProQuest One Psychology</collection><collection>ProQuest Central Basic</collection><jtitle>Journal of evolutionary economics</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Dawid, Herbert</au><au>Neugart, Michael</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>Effects of technological change and automation on industry structure and (wage-)inequality: insights from a dynamic task-based model</atitle><jtitle>Journal of evolutionary economics</jtitle><stitle>J Evol Econ</stitle><date>2023-01-01</date><risdate>2023</risdate><volume>33</volume><issue>1</issue><spage>35</spage><epage>63</epage><pages>35-63</pages><issn>1432-1386</issn><issn>0936-9937</issn><eissn>1432-1386</eissn><abstract>The advent of artificial intelligence is changing the task allocation of workers and machines in firms' production processes with potentially wide ranging effects on workers and firms. We develop an agent-based simulation framework to investigate the consequences of different types of automation for industry output, the wage distribution, the labor share, and industry dynamics. It is shown how the competitiveness of markets, in particular barriers to entry, changes the effects that automation has on various outcome variables, and to which extent heterogeneous workers with distinct general skill endowments and heterogeneous firms featuring distinct wage offer rules affect the channels via which automation changes market outcomes.</abstract><cop>Berlin, Heidelberg</cop><pub>Springer</pub><doi>10.1007/s00191-022-00803-5</doi><tpages>29</tpages><orcidid>https://orcid.org/0000-0002-3348-8570</orcidid><orcidid>https://orcid.org/0000-0002-8536-9960</orcidid><oa>free_for_read</oa></addata></record>
fulltext fulltext
identifier ISSN: 1432-1386
ispartof Journal of evolutionary economics, 2023-01, Vol.33 (1), p.35-63
issn 1432-1386
0936-9937
1432-1386
language eng
recordid cdi_proquest_journals_2781919750
source EBSCOhost Business Source Ultimate; International Bibliography of the Social Sciences (IBSS); EBSCOhost Econlit with Full Text; ABI/INFORM Global; Springer Nature
subjects Artificial intelligence
Automation
Change agents
Companies
Competitiveness
Consumption
Economic Growth
Economic Theory/Quantitative Economics/Mathematical Methods
Economics
Economics and Finance
Employment
Entrepreneurship
Firm dynamics
Income distribution
Inequality
Institutional/Evolutionary Economics
Investigations
Job creation
Labor economics
Labor market
Macroeconomics
Market entry
Microeconomics
Occupations
Productivity
R & D/Technology Policy
Regular Article
Simulation
Skills
Task allocation
Tasks
Technological change
Wage inequality
Wages & salaries
Workers
title Effects of technological change and automation on industry structure and (wage-)inequality: insights from a dynamic task-based model
url http://sfxeu10.hosted.exlibrisgroup.com/loughborough?ctx_ver=Z39.88-2004&ctx_enc=info:ofi/enc:UTF-8&ctx_tim=2025-01-12T19%3A15%3A29IST&url_ver=Z39.88-2004&url_ctx_fmt=infofi/fmt:kev:mtx:ctx&rfr_id=info:sid/primo.exlibrisgroup.com:primo3-Article-proquest_cross&rft_val_fmt=info:ofi/fmt:kev:mtx:journal&rft.genre=article&rft.atitle=Effects%20of%20technological%20change%20and%20automation%20on%20industry%20structure%20and%20(wage-)inequality:%20insights%20from%20a%20dynamic%20task-based%20model&rft.jtitle=Journal%20of%20evolutionary%20economics&rft.au=Dawid,%20Herbert&rft.date=2023-01-01&rft.volume=33&rft.issue=1&rft.spage=35&rft.epage=63&rft.pages=35-63&rft.issn=1432-1386&rft.eissn=1432-1386&rft_id=info:doi/10.1007/s00191-022-00803-5&rft_dat=%3Cproquest_cross%3E2781919750%3C/proquest_cross%3E%3Cgrp_id%3Ecdi_FETCH-LOGICAL-c475t-37324180e7f3de92661101350fc9901767f39c894ee30efdcc9bf1e008ad822e3%3C/grp_id%3E%3Coa%3E%3C/oa%3E%3Curl%3E%3C/url%3E&rft_id=info:oai/&rft_pqid=2781919750&rft_id=info:pmid/&rfr_iscdi=true