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Are robots in rich countries a threat for employment in emerging economies?

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  • Gravina, Antonio Francesco
  • Pappalardo, Maria Rosaria

Abstract

The effects of robotization on labor market outcomes have been widely investigated within developed countries. Conversely, few studies have tried to assess how automation in advanced economies affects less industrialized countries. In this work, we analyze the impact of robotization in a group of developed European countries (EU15) on employment dynamics in a country-industry panel data of emerging markets. Our findings indicate that EU15 robotization is associated with a decline of sectoral employment in emerging economies, especially in Asia, tradable and more robotized industries. Ultimately, a small set of major European countries – namely, Germany, Italy, Denmark and United Kingdom – seems to guide the overall phenomenon.

Suggested Citation

  • Gravina, Antonio Francesco & Pappalardo, Maria Rosaria, 2022. "Are robots in rich countries a threat for employment in emerging economies?," Economics Letters, Elsevier, vol. 221(C).
    • Handle: RePEc:eee:ecolet:v:221:y:2022:i:c:s0165176522003627
    DOI: 10.1016/j.econlet.2022.110888
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    References listed on IDEAS

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    Cited by:

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    More about this item

    Keywords

    Automation; Employment; Robots; Emerging economies; Trade;
    All these keywords.

    JEL classification:

    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure

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