Not All Technological Change is Equal: Disentangling Labor Demand Effects of Automation and Parts Consolidation

We measure the labor-demand effects of two simultaneous forms of technological change—automation of production processes and consolidation of parts. We collect detailed shop-floor data from four semiconductor firms with different levels of automation and consolidation. Using the O*NET survey instrument, we collect novel task data for operator laborers that contains process-step level skill requirements, including operations and control, near...