Technological change will not lead to mass unemployment but to increasing inequality and labor market polarization
The past decades have been characterized by a tremendous rise in computing power, reducing the costs of automating so-called routine tasks which follow clear, explicit rules and can thus be put into computer code. This has led to a polarization of labor markets in advanced economies with declining shares of middle-paid, routine-intensive occupations and rising shares of both, high- and low-paid jobs.
While this computerization has not led to employment declines, the question whether this holds true for the effects of further technological advances […]
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