Demography, growth and robots in advanced and emerging economies
01.12.2021
Matteo Lanzafame (Asian Development Bank)
C33, J11, O40
Demographic Change, Labor Productivity, Robots
This paper provides estimates of the impact of demographic change on labor productivity growth, relying on annual data over 1961-2018 for a panel f 90 advanced and emerging economies. We find that increases in both the young and old population shares have significantly negative effects on labor productivity growth, working via various channels – including physical and human capital accumulation. Splitting the analysis for advanced and emerging economies shows that population ageing has a greater effect on emerging economies than on advanced economies. Extending the benchmark model to include a proxy for the robotization of production, we find evidence indicating that automation reduces the negative effects unfavorable demographic change – in particular, population aging-on labor productivity.
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Suggested citation: M. Lanzafame (2021), ‘Demography, growth and robots in advanced and emerging economis’, Nota di Lavoro 30.2021, Milano, Italy: Fondazione Eni Enrico Mattei