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New technologies and jobs in Europe

Author

Listed:
  • Stefania Albanesi

    (University of Pittsburgh, NBER and CEPR)

  • António Dias da Silva

    (European Central Bank)

  • Juan F. Jimeno

    (Banco de España, Universidad de Alcalá, CEMFI, CEPR and IZA)

  • Ana Lamo

    (European Central Bank)

  • Alena Wabitsch

    (University of Oxford)

Abstract
We examine the link between labour market developments and new technologies such as artificial intelligence (AI) and software in 16 European countries over the period 2011-2019. Using data for occupations at the 3-digit level in Europe, we find that on average employment shares have increased in occupations more exposed to AI. This is particularly the case for occupations with a relatively higher proportion of younger and skilled workers. This evidence is in line with the Skill-Biased Technological Change theory. While there is heterogeneity across countries, very few countries show a decline in the employment shares of occupations more exposed to AI-enabled automation. Country heterogeneity for this result appears to be linked to the pace of technology diffusion and education, but also to the level of product market regulation (competition) and employment protection laws. In contrast to the findings for employment, we find little evidence for any correlation between wages and potential exposures to new technologies.

Suggested Citation

  • Stefania Albanesi & António Dias da Silva & Juan F. Jimeno & Ana Lamo & Alena Wabitsch, 2023. "New technologies and jobs in Europe," Working Papers 2322, Banco de España.
    • Handle: RePEc:bde:wpaper:2322
    DOI: https://doi.org/10.53479/33414
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    References listed on IDEAS

    as
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    Cited by:

    1. Raphael Auer & David Köpfer & Josef Sveda, 2024. "The rise of generative AI: modelling exposure, substitution and inequality effects on the US labour market," BIS Working Papers 1207, Bank for International Settlements.
    2. Roberto Roson & Emanuela Ghignoni, 2023. "A Numerical Simulation of Educational Mismatch in the Italian Labor Market," Working Papers in Public Economics 241, University of Rome La Sapienza, Department of Economics and Law.
    3. José Ignacio Conde-Ruiz & Juan José Ganuza & Manu García & Carlos Victoria, 2024. "La Demanda de Educación Superior ante el Cambio Tecnológico y la Inteligencia Artificial," Studies on the Spanish Economy eee2024-09, FEDEA.

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    More about this item

    Keywords

    artificial intelligence; employment; skills; occupations;
    All these keywords.

    JEL classification:

    • J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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