For the Benefit of All : Fiscal Policies and Equity-Efficiency Trade-offs in the Age of Automation /

Many studies predict massive job losses and real wage decline as a result of the ongoing widespread automation of production, a trend that may be further aggravated by the COVID-19 crisis. Yet automation is also expected to raise productivity and output. How can we share the gains from automation mo...

Mô tả đầy đủ

Chi tiết về thư mục
Tác giả chính: Berg, Andrew
Tác giả khác: Bounader, Lahcen, Gueorguiev, Nikolay, Miyamoto, Hiroaki
Định dạng: Tạp chí
Ngôn ngữ:English
Được phát hành: Washington, D.C. : International Monetary Fund, 2021.
Loạt:IMF Working Papers; Working Paper ; No. 2021/187
Những chủ đề:
Truy cập trực tuyến:Full text available on IMF
Miêu tả
Tóm tắt:Many studies predict massive job losses and real wage decline as a result of the ongoing widespread automation of production, a trend that may be further aggravated by the COVID-19 crisis. Yet automation is also expected to raise productivity and output. How can we share the gains from automation more widely, for the benefit of all? And what are the attendant equity-efficiency trade-offs? We analyze this issue by considering the effects of fiscal policies that seek to redistribute the gains from automation and address income inequality. We use a dynamic general equilibrium model with monopolistic competition, including a novel specification linking corporate power to automation. While fiscal policy cannot eliminate the classic equity-efficiency trade-offs, it can help improve them, reducing inequality at small or no loss of output. This is particularly so when policy takes advantage of novel, less distortive transmission channels of fiscal policy created by the empirically observed link between corporate market power and automation.
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Mô tả vật lý:1 online resource (44 pages)
Định dạng:Mode of access: Internet
số ISSN:1018-5941
Truy cập:Electronic access restricted to authorized BRAC University faculty, staff and students