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Automation After the Assembly Line: Computerized Machine Tools, Employment and Productivity in the United States

Author

Listed:
  • Leah Platt Boustan
  • Jiwon Choi
  • David Clingingsmith

Abstract

Since the 1970s, computerized machine tools have been replacing semi-skilled manufacturing workers, contributing to factory automation. We build a novel measure of exposure to computer numerical control (CNC) based on initial variation in tool types across industries and differential shifts toward CNC technology by tool type over time. Industries more exposed to CNC increased capital investment and experienced higher labor productivity. Total employment rose, with gains for college-educated workers and abstract tasks compensating for losses of less-educated workers and routine tasks. Employment gains were strongest for unionized jobs. Workers in exposed industries returned to school and relevant degree programs expanded.

Suggested Citation

  • Leah Platt Boustan & Jiwon Choi & David Clingingsmith, 2022. "Automation After the Assembly Line: Computerized Machine Tools, Employment and Productivity in the United States," NBER Working Papers 30400, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:30400
    Note: DAE LS
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    Cited by:

    1. 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.
    2. Jacobs, Arthur, 2023. "Capital-augmenting technical change in the context of untapped automation opportunities," Mathematical Social Sciences, Elsevier, vol. 123(C), pages 155-166.
    3. 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.
    4. Wenchao Jin, 2022. "Occupational polarisation and endogenous task-biased technical change," Working Paper Series 0622, Department of Economics, University of Sussex Business School.

    More about this item

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • N32 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - U.S.; Canada: 1913-

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