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Technology and task changes in the major EU countries

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  • Sergio De Nardis
  • Francesca Parente

Abstract

Drawing on the Acemoglu–Restrepo framework, this article investigates the influence of technological innovations on the wage bill of France, Germany, Italy and Spain We show that in these countries: (a) the wage‐bill deceleration since the 1990s has mainly been productivity driven; (b) but was also affected by a wage‐share compression; (c) contraction of labor‐intensive tasks played a relevant role in such compression; (d) this reflected an acceleration of technology‐induced labor displacement not sufficiently offset by the reinstatement of new labor‐intensive tasks; (e) labor displacement was higher in low‐end services. Econometric analysis of displacement confirms the influence of technology.

Suggested Citation

  • Sergio De Nardis & Francesca Parente, 2022. "Technology and task changes in the major EU countries," Contemporary Economic Policy, Western Economic Association International, vol. 40(2), pages 391-413, April.
  • Handle: RePEc:bla:coecpo:v:40:y:2022:i:2:p:391-413
    DOI: 10.1111/coep.12558
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