Do Robots Reduce Wages?

Source: Cobden Centre
by Sean Tan

“In the early days of automation, machines ruthlessly decimated workers’ place in the commercial order, and in return, only proffered employment which many of the displaced were too geographically or occupationally immobile to access. Fortunately, increased dynamism in the workforce has dismantled these impediments, refashioning robotisation into a desirable phenomenon which generates higher wages for more people. Counterintuitively, automation leads to a net gain in jobs; the World Economic Forum predicts that 2020 to 2025 will herald the creation of twelve million vacancies (Kande & Sonmez, 2020). Contrary to the suppositions of academics such as Kai-Fu Lee, these newly created roles will not be taken up by robots every several years for the foreseeable future.” (11/16/23)