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Impact of population ageing on the application of industrial robots: Evidence from China

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  • Zhao, Yantong
  • Said, Rusmawati
  • Ismail, Normaz Wana
  • Haris, Asmaddy
  • Hamzah, Hanny Zurina

Abstract

China is experiencing a rise in its ageing population alongside rapid advancements in industrial robotics. Using panel data from China’s industries (2006 to 2021), this study empirically examines the impact of population ageing on the application of industrial robots. The results show that population ageing significantly promotes industrial robot application. The impact of population ageing on the application of industrial robots varies by industry. The promotion effect is greater in low and medium-technology industries than that of high-tech industries. This effect became more evident after 2012. Industries with high state ownership exhibit stronger influence coefficients than those with lower state ownership. Mechanism analysis indicates that population ageing promotes industrial robot adoption through the labour cost substitution effect. These findings offer insights for government policies to promote sustainable ageing and upgrading the manufacturing sector through artificial intelligence represented by the application of robotics.

Suggested Citation

  • Zhao, Yantong & Said, Rusmawati & Ismail, Normaz Wana & Haris, Asmaddy & Hamzah, Hanny Zurina, 2024. "Impact of population ageing on the application of industrial robots: Evidence from China," The Journal of the Economics of Ageing, Elsevier, vol. 29(C).
    • Handle: RePEc:eee:joecag:v:29:y:2024:i:c:s2212828x2400029x
    DOI: 10.1016/j.jeoa.2024.100529
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    More about this item

    Keywords

    Industrial robots; Population Ageing; Sustainability; Industry level; China sectors;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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