The Work-From-Home Technology Boon and its Consequences

Morris Davis, Andra C Ghent and Jesse Gregory

The Review of Economic Studies, 2024, vol. 91, issue 6, 3362-3401

Abstract: We study the impact of widespread adoption of work-from-home (WFH) technology using an equilibrium model where people choose where to live, how to allocate their time between working at home and at the office, and how much space to use in production. Motivated by cross-sectional evidence on WFH, we model WFH as a complement to work at the office. Simulations of the model indicate that the pandemic induced a large change to the relative productivity of WFH that substantially increased home prices and will permanently affect incomes, income inequality, and city structure.

Keywords: Technology adoption; Coronavirus; Telecommuting (search for similar items in EconPapers)
Date: 2024
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Working Paper: The Work-from-Home Technology Boon and its Consequences (2021)
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Persistent link: https://EconPapers.repec.org/RePEc:oup:restud:v:91:y:2024:i:6:p:3362-3401.

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