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AI technologies and employment: micro evidence from the supply side

Author

Listed:
  • Giacomo Damioli
  • Vincent Van Roy
  • Daniel Vertesy
  • Marco Vivarelli

Abstract

In this work we investigate the possible job-creation impact of artificial intelligence (AI) technologies, focusing on the supply side, where the development of these technologies can be conceived as product innovations in upstream sectors. The empirical analysis is based on a worldwide longitudinal sample (obtained by merging the EPO PATSTAT and BvD-ORBIS databases) of more than 3,500 front-runner companies that patented AI-related inventions over the period 2000–2016. Based on system GMM estimates of dynamic panel models, our results show a positive and significant impact of AI patent families on employment, supporting the labour-friendly nature of AI product innovation.

Suggested Citation

  • Giacomo Damioli & Vincent Van Roy & Daniel Vertesy & Marco Vivarelli, 2023. "AI technologies and employment: micro evidence from the supply side," Applied Economics Letters, Taylor & Francis Journals, vol. 30(6), pages 816-821, March.
    • Handle: RePEc:taf:apeclt:v:30:y:2023:i:6:p:816-821
    DOI: 10.1080/13504851.2021.2024129
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    Cited by:

    1. Xiao, Bai & Wenyao, Zhao, 2025. "Artificial intelligence and stock price crash risk: Evidence from China: A pre-registered report," Pacific-Basin Finance Journal, Elsevier, vol. 93(C).
    2. Pablo Casas & Jos㉠L. Torres, 2026. "Automation, Taxation, and Social Security Sustainability," Hacienda Pública Española / Review of Public Economics, IEF, vol. 256(1), pages 69-104, March.
    3. Jacques Bughin, 2024. "The Role of Firm AI Capabilities in Generative AI-pair Coding," Working Papers TIMES² 2024-076, ULB -- Universite Libre de Bruxelles.
    4. Lee, Chien-Chiang & Li, Jiangnan & Yan, Jingyang, 2025. "Can artificial intelligence contribute to the new energy system? Based on the perspective of labor supply," Technology in Society, Elsevier, vol. 81(C).
    5. Guarascio, Dario & Reljic, Jelena & Stöllinger, Roman, 2023. "Artificial Intelligence and Employment: A Look into the Crystal Ball," GLO Discussion Paper Series 1333, Global Labor Organization (GLO).
    6. Dona Ghosh & Rajarshi Ghosh & Sahana Roy Chowdhury & Boudhayan Ganguly, 2025. "AI-exposure and labour market: a systematic literature review on estimations, validations, and perceptions," Management Review Quarterly, Springer, vol. 75(1), pages 677-704, February.
    7. Veronica Lupi & Valentina Morretta & Lorenzo Zirulia, 2024. "Earth Observation data, innovation and economic performance: a study of the downstream sector in Italy," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 14(1), pages 103-136, March.
    8. Liana Badea & George-Laurentiu Serban-Oprescu & Silvia-Elena Iacob & Suman Mishra & Mihaela-Roberta Stanef, 2024. "Artificial Intelligence and the Future of Work A Sustainable Development Perspective," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 26(Special 1), pages 1031-1031, November.
    9. Yang Shen, 2024. "Future jobs: analyzing the impact of artificial intelligence on employment and its mechanisms," Economic Change and Restructuring, Springer, vol. 57(2), pages 1-33, April.
    10. Fabio Montobbio & Jacopo Staccioli & Maria Enrica Virgillito & Marco Vivarelli, 2024. "The empirics of technology, employment and occupations: Lessons learned and challenges ahead," Journal of Economic Surveys, Wiley Blackwell, vol. 38(5), pages 1622-1655, December.
    11. Guarascio, Dario & Reljic, Jelena & Stöllinger, Roman, 2025. "Diverging paths: AI exposure and employment across European regions," Structural Change and Economic Dynamics, Elsevier, vol. 73(C), pages 11-24.
    12. Hang, Leiming & Lu, Wei & Ge, Xiaowei & Ye, Bin & Zhao, Zhiqi & Cheng, Fangfang, 2024. "R&D innovation, industrial evolution and the labor skill structure in China manufacturing," Technological Forecasting and Social Change, Elsevier, vol. 204(C).
    13. Ugur, Mehmet, 2024. "Effects of innovation and markups on employment and labour share in OECD industries," Structural Change and Economic Dynamics, Elsevier, vol. 71(C), pages 221-234.
    14. Zhou, Huilin & Wang, Linhui & Cao, Yutong & Li, Jincheng, 2025. "The impact of artificial intelligence on labor market: A study based on bibliometric analysis," Journal of Asian Economics, Elsevier, vol. 98(C).
    15. Flavio Calvino & Luca Fontanelli, 2025. "Decoding AI: Nine facts about how firms use artificial intelligence in France," LEM Papers Series 2025/13, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    16. Bughin, Jacques, 2024. "What drives the corporate payoffs of using generative artificial intelligence?," Structural Change and Economic Dynamics, Elsevier, vol. 71(C), pages 658-668.
    17. Flavio Calvino & Luca Fontanelli, 2026. "Decoding AI: an early look at how French firms use AI," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 16(1), pages 51-93, March.
    18. Pablo Casas & Concepción Román, 2024. "The impact of artificial intelligence in the early retirement decision," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 51(3), pages 583-618, August.
    19. Yantong Zhao & Rusmawati Said, 2023. "The Effect of the Digital Economy on the Employment Structure in China," Economies, MDPI, vol. 11(9), pages 1-14, September.
    20. Alessia Lo Turco & Alessandro Sterlacchini, 2024. "Factors Enhancing Ai Adoption By Firms. Evidence From France," Working Papers 486, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    21. Flavio Calvino & Luca Fontanelli, 2023. "Artificial intelligence, complementary assets and productivity: evidence from French firms," LEM Papers Series 2023/35, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    22. Liu, Shuai & Gao, Lihui & Chen, Mengzhu, 2025. "Artificial intelligence adoption and corporate financial risk," Finance Research Letters, Elsevier, vol. 85(PA).
    23. Flavio Calvino & Luca Fontanelli, 2024. "AI Users Are Not All Alike: The Characteristics of French Firms Buying and Developing AI," CESifo Working Paper Series 11466, CESifo.

    More about this item

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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