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Technological change is profoundly impacting the types of employment and industries in the labor

market, comparable to the Industrial Revolution of the late eighteenth and early nineteenth
centuries. However, AI, or we can say computerization 's disruption of society is occurring at a
pace ten times faster and resulting in approximately 3000 times greater impact. In order to
introduce the changes in the number and type of jobs under technological change, we need to
introduce the demand of the labor market under technological change: it is subject to automation
and new tasks 要加结论: and we can get conclude that overall employment will decline with the
rise of robots or computerization, while productivity remains unaffected; job dynamics will
bifurcate into two categories, wherein high-skilled occupations will experience technological
disruptions, whereas low-skilled jobs will encounter relatively less impact.

According to achor (2015), the impact on the types of jobs available has tendency of employment

job polarization. Since abstract or manual intensive jobs are typically at opposite ends of the
occupational skill spectrum -professional, managerial, and technical occupations on the one hand,
and service and laborer occupations on the other -the immediate implication of this reasoning is
that the computerization of routine work tasks may lead to the simultaneous growth of high-
education, high-wage, and low-education, low-wage jobs.

According to borjas , technological advancements imply that new technologies such as computers
and robots complement skilled labor by making it more accessible. However, they primarily
impact semi-skilled and unskilled individuals whose jobs become susceptible to replacement due
to their perceived ease; consequently, leading to a decline in job opportunities across various fields
except for the most basic ones like cleaning or hairdressing.

1 employment rate
In the baseline specifications, we consistently observe a significant negative coefficient for
exposure to robots across different specifications. The presence of one additional robot per
thousand workers reduces the employment rate by 0.16-0.31 percentage points. When
instrumenting exposure to robots in the full specification, its impact on employment remains
significantly negative, with one additional robot per thousand workers reducing the
employment rate by 0.16-0.20 percentage points.
And we can discuss it as the automation and the creation of new tasks sides. An increase in the
creation of new tasks (N) raises both the labor share (W/R) and employment. Conversely, an
improvement in automation technology (I) reduces both the labor share and employment, unless I*
= ~ I < I and firms are not constrained by technology in their choice to automate. The reason why
automation reduces employment (when I* = I < ~ I) is that it increases aggregate output per
worker more than it raises wages (as we will see later, automation may even decrease wages).
Thus, the negative income effect on labor supply resulting from greater aggregate output
outweighs any substitution effect that might arise from higher wages. On the other hand, the
creation of new tasks always leads to increased employment: new tasks raise wages more than
they raise aggregate output, thereby increasing labor demand. Similar forces operate generally and
create a tendency for automation to reduce employment while new tasks increase it.
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Simultaneously, the changes in employment rates can provide insights into shifts in industry
composition across various sectors. It is evident that technological advancements have a
positive impact on industries characterized by a higher proportion of skilled workers, while the
adverse effects are more pronounced and widespread among semi-skilled or low-skilled
employees for example they are engaged in administrative or assembly line roles. In contrast,
for other low-skilled occupations such as those within the service industry, technological
change exerts minimal influence. Low-skilled jobs can be categorized into two types: one
involves abstract tasks that are challenging to quantify but require emotional labor, whereas
the other type incurs higher costs when utilizing robots due to their inability to deliver
equivalent work value compared to human labor.

In conclusion, the overall employment will decrease as robots or computerization become


more prevalent, but productivity will remain unaffected. Job dynamics will split into two
categories: high-skilled occupations facing technological disruptions and low-skilled jobs
experiencing less impact.

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