New data suggest most of the growth in the wage gap since 1980 comes from automation

New data suggest most of the growth in the wage gap since 1980 comes from automation

A newly published paper quantifies the extent to which automation has contributed to income inequality in the U.S., simply by replacing workers with technology — whether self-checkout machines, call-center systems, assembly-line technology, or other devices. Credit: Jose-Luis Olivares, MIT When you use self-checkout machines in supermarkets and drugstores, you are probably not—with all due respect—doing a better job of bagging your purchases than checkout clerks once did. Automation just makes bagging less expensive for large retail chains.

"If you introduce self-checkout kiosks, it’s not going to change productivity all that much," says MIT economist Daron Acemoglu. However, in terms of […]

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