Will Technology Create More Legal Jobs Than It Destroys?

Paul Carson writes about the relationship between technology and occupations in order to see if the proliferation of computers in the work place actually translates to job loss and wage inequality. The article begins as follows:

This paper investigates basic relationships between technology and occupations. Building a general occupational model, I look at detailed occupations since 1980 to explore whether computers are related to job losses or other sources of wage inequality. Occupations that use computers grow faster, not slower. This is true even for highly routine and mid-wage occupations. Estimates reject computers as a source of significant net technological unemployment or job polarization. But computerized occupations substitute for other occupations, shifting employment and requiring new skills. Because new skills are costly to learn, computer use is associated with substantially greater within-occupation wage inequality.

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Posted by Logan Davis, Associate Editor, Wealth Strategies Journal.