Data and Code for: Routine-Biased Technological Change and Endogenous Skill Investments

Principal Investigator(s):  View help for Principal Investigator(s) Danyelle Branco, Sao Paulo School of Economics-FGV; Bladimir Carrillo, Sao Paulo School of Economics-FGV; Wilman Iglesias, University of Nebraska-Lincoln, Lincoln, NE

Version:  View help for Version V1

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Project Description

Summary:  View help for Summary
We investigate how individuals alter their educational investments in response to routine-biased technology. We find that individuals growing up in robot-impacted areas are
more likely to complete a bachelor’s degree and experience a relative increase in earnings. Changes in the skill premium and opportunity cost appear to drive these effects.
To interpret these findings, we estimate a model of endogenous skill acquisition where
changes in the demand and supply of skills shape the path of earnings. Counterfactual
simulations suggest that the endogenous skill response cannot fully undo the adverse
earnings effects of automation unless there are sufficiently generous educational subsidies.

Scope of Project

Subject Terms:  View help for Subject Terms Automation; industrial robots; skill acquisition; college attainment; labor market
JEL Classification:  View help for JEL Classification
      I21 Analysis of Education
      J23 Labor Demand
      J24 Human Capital; Skills; Occupational Choice; Labor Productivity
Geographic Coverage:  View help for Geographic Coverage United States
Universe:  View help for Universe The United States
Data Type(s):  View help for Data Type(s) census/enumeration data; survey data
Collection Notes:  View help for Collection Notes None

Methodology

Response Rate:  View help for Response Rate Not applicable
Data Source:  View help for Data Source Main source: American Community Survey
Collection Mode(s):  View help for Collection Mode(s) other
Scales:  View help for Scales Not applicable
Weights:  View help for Weights Not applicable
Unit(s) of Observation:  View help for Unit(s) of Observation Individuals
Geographic Unit:  View help for Geographic Unit State

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Published Versions

V1 [2025-07-01]

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