Zero to One: Notes on Startups, or How to Build the Future · chapter 12 · id zero-to-one-c12-05-globalization-is-substitution-

“Globalization is substitution (cheap labor replaces workers) while technology is complementation (computers empower workers). The two forces work differently on employment.”

contestedconfidence: medium⚠ extracted by pipeline, re-audit pending

Receipts

Autor, Dorn, Hanson -- The China Shock (MIT/NBER)source alive

Between 1999 and 2011, 985,000 manufacturing jobs and 1.98 million total jobs were lost to Chinese import competition.

Acemoglu & Restrepo (2019) -- Automation and New Tasks, AEA JEPsource alive

Automation enables capital to replace labor (displacement effect) but is counterbalanced by creation of new tasks where labor has comparative advantage (reinstatement effect). Technology does BOTH.

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