Join us for a lecture presented by Luke Spreen, Assistant Professor, University of Maryland School of Public Policy. Research is co-authored by Ziyuan Wang and Kate (Lang) Yang, both of George Washington University.
Recent research shows industrial automation raises labor productivity but also depresses employment and wages in exposed industries and regions. This paper examines the impact of automation on U.S. state and local governments. We find that state and local governments with greater exposure to automation experience significant declines in per capita revenues and expenditures. The spending reduction is concentrated in K-12 education and driven primarily by a decrease in state support. Automation exposure is also associated with a decline in student test scores. These findings suggest that industrial automation impairs state and local financing of public education and student outcomes.
Zoom link available upon request from jboire@umd.edu.