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The Effect of Robotization on Wage

Student: Kirichenko Marina

Supervisor: Alexander Skorobogatov

Faculty: St.Petersburg School of Economics and Management

Educational Programme: Economics (Bachelor)

Final Grade: 8

Year of Graduation: 2019

This thesis will analyse the impact of robotization and the introduction of new technologies on the Russian labor market, in particular, on wages for different groups of workers at the regional level. Over the past thirty years, technological progress has emerged as one of a key player in changing the structure of the labor market. The tendency resulted from shifts in demand for high-skill labor, which is able to engage with new technologies and perform merging more complex tasks. These changes facilitate the emergence of differentiation between employees of different educational groups. Moreover, automation results in increased income inequality between Russian regions: there are regions that are more vulnerable to robotization, there are those that, on the contrary, begin to grow and develop even faster. From this point of view it was said too few about these structural changes in the Russian labor market, that is why this thesis was made in an attempt to fill the existing gaps. The main purpose of the work is to identify trends in changes in wages associated with the introduction of robotization. In this research, the wide empirical framework will be developed in order to make an assessment of a job polarization and wage differentiation in terms of skill-biased technical changes for Russian labor markets in the last two decades.

Full text (added May 16, 2019)

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