The logic mirrors the white-collar story, even if the mechanism is different, with the authors arguing these effects are “economically meaningful.” Just as AI becomes economically attractive when it can replace the codified work of a junior software engineer or customer service rep, an industrial robot becomes more attractive when the cost of the human doing repetitive assembly or welding goes up. In both cases, a rising price for labor at the lower end of the skill spectrum tilts the calculus toward machines.
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