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The Impact of Fear of Automation

Author

Listed:
  • Golin, M.
  • Rauh, C.
Abstract
In this paper, we establish a causal effect of workers’ perceived probability of losing one’s job due to automation on preferences for redistribution and intentions to join a union. In a representative sample of the US workforce, we elicit the perceived fear of losing one’s job to robots or artificial intelligence. We document a strong relationship between fear of automation and intentions to join a union, retrain and switch occupations, preferences for higher taxation, higher government handouts, populist attitudes, and voting intentions. We then show a causal effect of providing information about job loss probabilities on preferred levels of taxation and handouts. In contrast, our information treatment does not affect workers’ intentions to self-insure by retraining or switching occupations, but it increases workers’ self-reported likelihood of joining a union to seek more job protection. The treatment effects are mostly driven by workers who are informed about larger job loss probabilities than they perceived.

Suggested Citation

  • Golin, M. & Rauh, C., 2022. "The Impact of Fear of Automation," Janeway Institute Working Papers 2229, Faculty of Economics, University of Cambridge.
    • Handle: RePEc:cam:camjip:2229
    Note: cr542
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    References listed on IDEAS

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    Cited by:

    1. Cattaneo, Maria Alejandra & Gschwendt, Christian & Wolter, Stefan C., 2024. "How Scary Is the Risk of Automation? Evidence from a Large Scale Survey Experiment," IZA Discussion Papers 17097, Institute of Labor Economics (IZA).
    2. Maria A. Cattaneo & Christian Gschwendt & Stefan C. Wolter, 2024. "How Scary is the Risk of Automation? Evidence from a Large Survey Experiment," Economics of Education Working Paper Series 0213, University of Zurich, Department of Business Administration (IBW).

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    More about this item

    Keywords

    Automation; Inequality; information treatment; Political attitudes; Political preferences; Populism; Redistribution;
    All these keywords.

    JEL classification:

    • J68 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Public Policy
    • J58 - Labor and Demographic Economics - - Labor-Management Relations, Trade Unions, and Collective Bargaining - - - Public Policy
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies

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