Research into impact of job automation cited in US President's economic report

01 March 2016

I Stock_jobs_automation_nmcandre
© iStock/nmcandre

Research by Dr Carl Benedikt Frey and Professor Michael Osborne has been used in the 2016 Economic Report of the President of the United States to study the impact of automation on occupations at different wage levels.

The research is cited in the Technology and Innovation chapter of the report, which is published each year by the President’s Council of Economic Advisers.

The overview of the report outlines how "certain new technologies, particularly those involving robotics and automation as well as information and communications technology (ICT) present new opportunities and challenges for policymakers," continuing: "For example, evidence suggests that occupations with higher hourly wages face a substantially lower likelihood of being automated. This association demonstrates the need to help workers develop strong skills through a robust training and education agenda to ensure that they benefit from changes in technology."

The authors add: "More broadly, the increased prevalence of robotics, automation, and ICT has affected both worker welfare and overall productivity, highlighting the need for policies that promote their adoption while addressing distributional challenges such as the digital divide."