Prettner (2019) studies the implications of automation for economic growth and the labor share in a variant of the … Solow-Swan model. The aggregate production function allows for two types of capital, traditional and automation capital …. Traditional capital and labor are imperfect substitutes whereas automation capital and labor are perfect substitutes. In this …

capital, the deepening of automation (whereby machines be-come more productive in tasks that are already automated), and the …This paper points out that modeling automation as factor-augmenting technological change has several unappealing … implications. Instead, modeling it as the process of machines replacing tasks previously performed by labor is both descriptively …