Michael Koch, Ilya Manuylov, Marcel Smolka, 01 July 2019

The rise of robots has sparked an intense debate about the labour market effects of their adoption. This column explores differences in robot adoption across firms and analyses the labour market effects of robot adoption at the firm level. It reveals a productivity-enhancing reallocation of labour and market shares across firms, with robot-adopting firms creating new job opportunities and expanding their scale of operations, while non-adopters experience negative output and employment effects in the face of tougher competition.

Sónia Cabral, Pedro S. Martins, João Pereira dos Santos, Mariana Tavares, 30 September 2018

The labour market effects of import competition from China are becoming increasingly relevant. This column analyses both the direct and indirect labour market effects of rising international trade exposure to China, focusing on Portugal. It suggests that the wages and employment of Portuguese workers are negatively affected by China’s competition in third-country markets. Certain groups such as female, older, and less-educated workers, are particularly badly hit.

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