To rationalize a substantial income share of labor despite progressive task automation over the centuries, we present a simple model in which demand moves along a vertically differentiated production structure toward goods of increasing sophistication. Automation of more sophisticated goods...

This paper empirically tests the hypothesis that landed elites may block technological change and economic development if they fear that they will lose future political power (Acemoglu and Robinson (2002, 2006, and 2012). It exploits a plausible exogenous change in the distribution of political...

Digitalisation has a major impact on labour markets in developing countries. While Internet access expands, digital platforms proliferate and "gig-work" is performed in the Global South, access to and use of digital technologies remains far from universal. As the scope and speed of...

Empirical evidence in Dauth et al. (J Eur Econ Assoc, 2021) suggests that industrial robot adoption in Germany has led to a sectoral reallocation of employment from manufacturing to services, leaving total employment unaffected. We rationalize this evidence through the lens of a general...

Arbeitslosigkeit durch rapide technische Neuerungen wird von vielen in der nahen Zukunft befürchtet. Auch die Einkommensverteilung und damit der gesellschaftliche Zusammenhalt können noch stärker in Schieflage geraten. Worin liegen die Gefahren der sogenannten 'Vierten Industriellen...

In considering pathways to industrialization in the twenty-first century, cognisance needs to be taken of the fact that many countries have actually been deindustrializing. This paper analyses deindustrialization experiences internationally, by decomposing changes in the level and share of...

The People's Republic of China's (PRC) remarkable growth performance over the last 3 decades has been associated to very robust export growth, so much so that many refer to it as a clear example of export-led growth (ELG). Using the concept of the balance-of-payments equilibrium (BOPE) growth...

Eine Analyse der kroatischen Wirtschaft und abgeleitete Politikempfehlungen auf nationaler und EU-Ebene Ziel der Studie ist die Ausarbeitung von Politikempfehlungen, die dabei helfen sollen, die kroatische Wirtschaft positiv zu stimulieren und der Bevölkerung im Land eine langfristige...

This paper provides novel empirical evidence on the role of trade and structural transformation as potential drivers of the labor income share. Using cross-country data, both at the national and sectoral level, we find that trade openness is negatively correlated with the labor income share. The...

This paper studies a model of the distribution of income under bounded needs. Utility derived from any given good reaches a bliss point at a finite consumption level of that good. On the other hand, introducing new varieties always increases utility. It is assumed that each variety is owned by a...