IDEAS home Printed from https://ideas.repec.org/a/aea/jecper/v33y2019i2p51-70.html
   My bibliography  Save this article

"Automation" of Manufacturing in the Late Nineteenth Century: The Hand and Machine Labor Study

Author

Listed:
  • Jeremy Atack
  • Robert A. Margo
  • Paul W. Rhode

Abstract

Recent advances in artificial intelligence and robotics have generated a robust debate about the future of work. An analogous debate occurred in the late nineteenth century when mechanization first transformed manufacturing. We analyze an extraordinary dataset from the late nineteenth century, the Hand and Machine Labor study carried out by the US Department of Labor in the mid-1890s. We focus on transitions at the task level from hand to machine production, and on the impact of inanimate power, especially of steam power, on labor productivity. Our analysis sheds light on the ability of modern task-based models to account for the effects of historical mechanization.

Suggested Citation

  • Jeremy Atack & Robert A. Margo & Paul W. Rhode, 2019. ""Automation" of Manufacturing in the Late Nineteenth Century: The Hand and Machine Labor Study," Journal of Economic Perspectives, American Economic Association, vol. 33(2), pages 51-70, Spring.
  • Handle: RePEc:aea:jecper:v:33:y:2019:i:2:p:51-70
    Note: DOI: 10.1257/jep.33.2.51
    as

    Download full text from publisher

    File URL: https://www.aeaweb.org/doi/10.1257/jep.33.2.51
    Download Restriction: no

    File URL: https://www.aeaweb.org/articles/attachments?retrieve=vN4Z4oloO-wNflDM9xk8l_Lahwt1Jo55
    Download Restriction: no

    File URL: https://www.aeaweb.org/articles/attachments?retrieve=ftSiC4Rl1M8IH0_GPpB6m5y7iMuShsH8
    Download Restriction: no

    File URL: https://www.aeaweb.org/articles/attachments?retrieve=dfJKnHS5LrxBPBWGL9wsxpde5G9g7Akx
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Alexandra de Pleijt & Alessandro Nuvolari & Jacob Weisdorf, 2020. "Human Capital Formation During the First Industrial Revolution: Evidence from the use of Steam Engines," Journal of the European Economic Association, European Economic Association, vol. 18(2), pages 829-889.
    2. Lawrence F. Katz & Robert A. Margo, 2014. "Technical Change and the Relative Demand for Skilled Labor: The United States in Historical Perspective," NBER Chapters, in: Human Capital in History: The American Record, pages 15-57, National Bureau of Economic Research, Inc.
    3. Leah Platt Boustan & Carola Frydman & Robert A. Margo, 2014. "Human Capital in History: The American Record," NBER Books, National Bureau of Economic Research, Inc, number bous12-1, March.
    4. Kim, Sukkoo, 2005. "Industrialization and urbanization: Did the steam engine contribute to the growth of cities in the United States?," Explorations in Economic History, Elsevier, vol. 42(4), pages 586-598, October.
    5. Raphaël Franck & Oded Galor, 2022. "Technology-Skill Complementarity in Early Phases of Industrialisation," The Economic Journal, Royal Economic Society, vol. 132(642), pages 618-643.
    6. Autor, David H., 2013. "The "task approach" to labor markets : an overview," Journal for Labour Market Research, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany], vol. 46(3), pages 185-199.
    7. Boustan, Leah Platt & Frydman, Carola & Margo, Robert A. (ed.), 2014. "Human Capital in History," National Bureau of Economic Research Books, University of Chicago Press, number 9780226163895, December.
    8. Hugh Rockoff, 2019. "On the Controversies behind the Origins of the Federal Economic Statistics," Journal of Economic Perspectives, American Economic Association, vol. 33(1), pages 147-164, Winter.
    9. Gray, Rowena, 2013. "Taking technology to task: The skill content of technological change in early twentieth century United States," Explorations in Economic History, Elsevier, vol. 50(3), pages 351-367.
    10. Atack, Jeremy & Bateman, Fred & Margo, Robert A., 2008. "Steam power, establishment size, and labor productivity growth in nineteenth century American manufacturing," Explorations in Economic History, Elsevier, vol. 45(2), pages 185-198, April.
    11. Atack, Jeremy, 1979. "Fact in fiction? The relative costs of steam and water power: a simulation approach," Explorations in Economic History, Elsevier, vol. 16(4), pages 409-437, October.
    12. Broadberry, Stephen N., 1998. "How Did the United States and Germany Overtake Britian? A Sectoral Analysis of Comparative Productivity Levels, 1870–1990," The Journal of Economic History, Cambridge University Press, vol. 58(2), pages 375-407, June.
    13. Temin, Peter, 1966. "Steam and Waterpower in the Early Nineteenth Century," The Journal of Economic History, Cambridge University Press, vol. 26(2), pages 187-205, June.
    14. Ojala, Jari & Pehkonen, Jaakko & Eloranta, Jari, 2016. "Deskilling and decline in skill premium during the age of sail: Swedish and Finnish seamen, 1751–1913," Explorations in Economic History, Elsevier, vol. 61(C), pages 85-94.
    15. Sukkoo Kim, 2005. "Industrialization and Urbanization: Did the Steam Engine Contribute to the Growth of Cities in the United States?," NBER Working Papers 11206, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Antón, José-Ignacio & Fernández-Macías, Enrique & Winter-Ebmer, Rudolf, 2020. "Does Robotization Affect Job Quality? Evidence from European Regional Labour Markets," IZA Discussion Papers 13975, Institute of Labor Economics (IZA).
    2. Savin, Ivan & Ott, Ingrid & Konop, Chris, 2022. "Tracing the evolution of service robotics: Insights from a topic modeling approach," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    3. Guimarães, Luís & Mazeda Gil, Pedro, 2022. "Looking ahead at the effects of automation in an economy with matching frictions," Journal of Economic Dynamics and Control, Elsevier, vol. 144(C).
    4. David Autor & Caroline Chin & Anna Salomons & Bryan Seegmiller, 2022. "New frontiers: The origins and content of new work, 1940-2018," POID Working Papers 049, Centre for Economic Performance, LSE.
    5. Bernardo S Buarque & Ronald B Davies & Ryan M Hynes & Dieter F Kogler, 2020. "OK Computer: the creation and integration of AI in Europe," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 13(1), pages 175-192.
    6. John Carter Braxton & Kyle F. Herkenhoff & Jonathan Rothbaum & Lawrence Schmidt, 2021. "Changing Income Risk across the US Skill Distribution: Evidence from a Generalized Kalman Filter," Opportunity and Inclusive Growth Institute Working Papers 55, Federal Reserve Bank of Minneapolis.
    7. Chuan, Amanda & Zhang, Weilong, 2023. "Non-college Occupations, Workplace Routinization, and the Gender Gap in College Enrollment," IZA Discussion Papers 16089, Institute of Labor Economics (IZA).
    8. Jeff Borland & Michael Coelli, 2023. "The Australian labour market and IT-enabled technological change," Melbourne Institute Working Paper Series wp2023n01, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    9. Raphaël Franck, 2022. "Labor Scarcity, Technology Adoption and Innovation: Evidence from the Cholera Pandemics in 19th Century France," CESifo Working Paper Series 9528, CESifo.
    10. Marvin Goodfriend & John McDermott, 2021. "The American System of economic growth," Journal of Economic Growth, Springer, vol. 26(1), pages 31-75, March.
    11. José-Ignacio Antón & David Klenert & Enrique Fernández-Macías & Maria Cesira Urzì Brancati & Georgios Alaveras, 2022. "The labour market impact of robotisation in Europe," European Journal of Industrial Relations, , vol. 28(3), pages 317-339, September.
    12. Jeremy Atack & Robert A. Margo & Paul W. Rhode, 2024. "Wage Inequality in American Manufacturing, 1820–1940: New Evidence," NBER Chapters, in: The Economic History of American Inequality: New Evidence and Perspectives, National Bureau of Economic Research, Inc.
    13. Jeremy Atack & Robert A. Margo & Paul Rhode, 2020. "‘Mechanization Takes Command’: Inanimate Power and Labor Productivity in Late Nineteenth Century American Manufacturing," NBER Working Papers 27436, National Bureau of Economic Research, Inc.
    14. Atack, Jeremy & Margo, Robert A. & Rhode, Paul W., 2022. "Industrialization and urbanization in nineteenth century America," Regional Science and Urban Economics, Elsevier, vol. 94(C).
    15. Leah Platt Boustan & Jiwon Choi & David Clingingsmith, 2024. "The Political Fallout of Machine Tool Automation in the Mid-20th Century United States," NBER Chapters, in: The Economic History of American Inequality: New Evidence and Perspectives, National Bureau of Economic Research, Inc.
    16. Ager, Philipp & Goñi, Marc & Salvanes, Kjell Gunnar, 2023. "Gender-biased technological change: Milking machines and the exodus of women from farming," Discussion Paper Series in Economics 16/2023, Norwegian School of Economics, Department of Economics.
    17. Benjamin Schneider & Hillary Vipond, 2023. "The Past and Future of Work: How History Can Inform the Age of Automation," CESifo Working Paper Series 10766, CESifo.
    18. Toon Van Overbeke, 2023. "Conflict or cooperation? Exploring the relationship between cooperative institutions and robotisation," British Journal of Industrial Relations, London School of Economics, vol. 61(3), pages 550-573, September.
    19. Caitlin Allen Whitehead & Haroon Bhorat & Robert Hill & Tim Köhler & François Steenkamp, 2021. "The Potential Employment Implications of the Fourth Industrial Revolution Technologies: The Case of the Manufacturing, Engineering and Related Services Sector," Working Papers 202106, University of Cape Town, Development Policy Research Unit.
    20. Kaplan, Andreas & Haenlein, Michael, 2020. "Rulers of the world, unite! The challenges and opportunities of artificial intelligence," Business Horizons, Elsevier, vol. 63(1), pages 37-50.
    21. Matej Belin, 2021. "Does Robots´Reach Exceed Their Grasp? Differential Impacts of Robot Adoption and Spillover Effects on Workers in the Czech Republic," CERGE-EI Working Papers wp688, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    22. Schneider, Benjamin & Vipond, Hillary, 2023. "The past and future of work: how history can inform the age of automation," Economic History Working Papers 119282, London School of Economics and Political Science, Department of Economic History.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jeremy Atack & Robert A. Margo & Paul Rhode, 2020. "‘Mechanization Takes Command’: Inanimate Power and Labor Productivity in Late Nineteenth Century American Manufacturing," NBER Working Papers 27436, National Bureau of Economic Research, Inc.
    2. Alex W. Chernoff, 2021. "Firm heterogeneity, technology adoption and the spatial distribution of population: Theory and measurement," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 54(2), pages 475-521, May.
    3. Stefan Leknes & Jørgen Modalsli, 2018. "Who benefited from industrialization? The local effects of hydropower technology adoption," Discussion Papers 874, Statistics Norway, Research Department.
    4. Guy Michaels & Ferdinand Rauch & Stephen J Redding, 2019. "Task Specialization in U.S. Cities from 1880 to 2000," Journal of the European Economic Association, European Economic Association, vol. 17(3), pages 754-798.
    5. Atack, Jeremy & Bateman, Fred & Margo, Robert A., 2008. "Steam power, establishment size, and labor productivity growth in nineteenth century American manufacturing," Explorations in Economic History, Elsevier, vol. 45(2), pages 185-198, April.
    6. Molinder, Jakob & Karlsson, Tobias & Enflo, Kerstin, 2019. "More Power to the People: Electricity Adoption, Technological Change and Social Conflict," Lund Papers in Economic History 206, Lund University, Department of Economic History, revised 13 Oct 2020.
    7. Atack, Jeremy & Margo, Robert A. & Rhode, Paul W., 2022. "Industrialization and urbanization in nineteenth century America," Regional Science and Urban Economics, Elsevier, vol. 94(C).
    8. Katz‬‏, ‪Ori, 2018. "Railroads, Economic Development, and the Demographic Transition in the United States," MPRA Paper 88869, University Library of Munich, Germany.
    9. Martin Fiszbein, 2017. "Agricultural Diversity, Structural Change and Long-run Development: Evidence from the U.S," NBER Working Papers 23183, National Bureau of Economic Research, Inc.
    10. Alexander V. Giczy & Nicholas A. Pairolero & Andrew A. Toole, 2022. "Identifying artificial intelligence (AI) invention: a novel AI patent dataset," The Journal of Technology Transfer, Springer, vol. 47(2), pages 476-505, April.
    11. Nielsen, Hana, 2021. "Coal and Sugar: The Black and White Gold of Czech Industrialization (1841-1863)," Lund Papers in Economic History 229, Lund University, Department of Economic History.
    12. David H. Autor, 2015. "Why Are There Still So Many Jobs? The History and Future of Workplace Automation," Journal of Economic Perspectives, American Economic Association, vol. 29(3), pages 3-30, Summer.
    13. Theresa Gutberlet, 2014. "Mechanization and the spatial distribution of industries in the German Empire, 1875 to 1907," Economic History Review, Economic History Society, vol. 67(2), pages 463-491, May.
    14. Gunes, Pinar Mine & Ural Marchand, Beyza, 2020. "Macroeconomic conditions and child schooling in Turkey," Labour Economics, Elsevier, vol. 63(C).
    15. Roberto Santolamazza & Dejan Pejcic, 2016. "Manifattura additiva: quale ruolo per il "capitale umano"?," ECONOMIA E SOCIET? REGIONALE, FrancoAngeli Editore, vol. 2016(2), pages 113-144.
    16. Yi Long & Chris Nyland & Russell Smyth, 2016. "Fiscal Decentralisation, the Knowledge Economy and School Teachers’ Wages in Urban China," Monash Economics Working Papers 13-16, Monash University, Department of Economics.
    17. Dora L. Costa, 2015. "Health and the Economy in the United States from 1750 to the Present," Journal of Economic Literature, American Economic Association, vol. 53(3), pages 503-570, September.
    18. Krzywdzinski, Martin & Jo, Hyung Je, 2022. "Skill formation, automation and governance: comparing German and Korean automotive manufacturers in Central-Eastern Europe," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 18(1), pages 115-136.
    19. Frey, Carl Benedikt & Osborne, Michael A., 2017. "The future of employment: How susceptible are jobs to computerisation?," Technological Forecasting and Social Change, Elsevier, vol. 114(C), pages 254-280.
    20. Shih-tse Lo & Dhanoos Sutthiphisal, 2008. "Crossover Inventions And Knowledge Diffusion Of General Purpose Technologies? Evidence From The Electrical Technology," NBER Working Papers 14043, National Bureau of Economic Research, Inc.

    More about this item

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
    • M11 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Production Management
    • N31 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - U.S.; Canada: Pre-1913
    • N61 - Economic History - - Manufacturing and Construction - - - U.S.; Canada: Pre-1913

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aea:jecper:v:33:y:2019:i:2:p:51-70. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Michael P. Albert (email available below). General contact details of provider: https://edirc.repec.org/data/aeaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.