Global Robots

Fabrizio Leone

No 21776, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: The diffusion of automation technology raises questions about the future of work, leading to calls for policy interventions. The ongoing debate centers on the decisions made by technology adopters. In this paper, I study supply-side adjustments and their role in shaping policy outcomes. I focus on the global market for industrial robots, a leading automation technology whose sales are dominated by a handful of multinationals. I collect new data on these suppliers and use them to estimate a multi-country general equilibrium model with oligopolistic multinational robot suppliers and heterogeneous workers. Using this model, I find that robot suppliers' market entry and pricing responses amplify the aggregate and distributional effects of policies targeting robots and transmit them across borders.

Keywords: Multinational; firms (search for similar items in EconPapers)
JEL-codes: F1 F16 F23 L13 O33 (search for similar items in EconPapers)
Date: 2026-07
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