EconPapers    
Economics at your fingertips  
 

Technological Change in an Unstable Labor Market: A Dynamic System Approach

Timon Scheuer and Stella Zilian

Journal of Economic Issues, 2020, vol. 54, issue 4, 1033-1054

Abstract: The rise of digital technologies, robots and computers has once again drawn attention to questions about the economic impact of technological progress. While process innovation is usually associated with productivity gains and a corresponding displacement of labor, product innovation is assumed to have rather positive effects on employment. We incorporate both channels of technological change by considering their different effects on productivity, needs, and expectations in a stock‐flow consistent dynamic system approach. The highly simplified economic system presented in this article is based on standard assumptions, while with regard to technological progress and its effects the model allows for the emergence of off‐equilibria paths and an unstable labor market. The chosen framework illustrates key dependencies in market economies, but simultaneously ties in with a fundamental level and thereby leaves space for shortcomings. Both may be seen as contribution to further developments as science, just like technological change, partly always will be a process of trial and error.

Date: 2020
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1080/00213624.2020.1828727 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mes:jeciss:v:54:y:2020:i:4:p:1033-1054

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MJEI20

DOI: 10.1080/00213624.2020.1828727

Access Statistics for this article

More articles in Journal of Economic Issues from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().

 
Page updated 2020-12-10
Handle: RePEc:mes:jeciss:v:54:y:2020:i:4:p:1033-1054