A New Way To Understand Automation

A New Way To Understand Automation

For one of the most distinguished critics of automation, MIT economist Daron Acemoglu has been, ironically, cranking out research on the subject lately like he’s a machine. He and his co-author Pascual Restrepo have produced so many studies on the subject that he couldn’t tell us how many they’ve done. “I’ve lost count,” he says.

Their conveyer belt of research has been spitting out some startling facts. They find, for instance, that each new industrial robot killed, on average, 3.3 jobs in America between 1993 and 2007. Last week, Acemoglu and Restrepo released a new study that suggests as much as 70 percent of the rise of inequality in America since 1980 is due to machines devouring jobs previously done by middle and low-income workers.

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More than just quantifying the past effects of automation, Acemoglu and his colleagues have been developing a new framework to understand it going forward. People often talk about technology as if it has just one effect, leading us closer to an automated world, which, depending on where you sit, is either the glittering utopia of abundance seen in Star Trek or the dismal dystopia seen in The Terminator. The Acemoglu framework adds richness and complexity to the picture.

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