The Unassuming Economist

From a paper by Michał Brzozowski and Joanna Siwińska-Gorzelak:

“This article examines the impact of robotization on the short-term correlation between employment and output. We estimate the Okun’s Law relationship utilizing panel data from 35 OECD countries for the period from 1996 to 2020. Our empirical evidence, backed up by a battery of robustness tests, consistently shows that automation contributes to job-preserving recessions by mitigating increases in unemployment during economic contractions. This challenges common assumptions regarding the detrimental impact of automation on employment. Additionally, we do not find support for the notion that automation causes jobless recoveries.”