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Robots, Natives and Immigrants in US local labor markets

Mohsin Javed

Labour Economics, 2023, vol. 85, issue C

Abstract: I analyze the impact of industrial robots on the employment of natives and immigrants in US local labor markets between 1990 and 2014. The proposed mechanism, through which robot adoption affects the employment of natives and immigrants differentially, is based on two facts: first, robots tend to displace workers based on the task content of occupations, and second, natives and immigrants in the US differ in their task specialization. Therefore, robots should affect their employment unequally. Exploiting plausibly exogenous variation in robot exposure across US local labor markets over time, I test this mechanism and find that the effect on immigrants is roughly 1.76 times greater than that observed for natives. Specifically, I find that one more robot per thousand workers reduces the employment-to-population ratio of natives and immigrants by 0.38 and 0.67 percentage points, respectively. I attribute these results to the fact that immigrants specialize in jobs or tasks at risk of being automated.

Keywords: Industrial robots; Automation; Employment; Immigration (search for similar items in EconPapers)
JEL-codes: J15 J24 O33 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:labeco:v:85:y:2023:i:c:s0927537123001318

DOI: 10.1016/j.labeco.2023.102456

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