Opinion & Analysis

The Internet and Jobs: Opportunities and ambiguous trends, by L. Pupillo, E. Noam and L. Waverman

Virtually all of the empirical literature on the impact of the internet on jobs indicates that the internet has indeed created many new jobs, but that a large number of jobs may also have been destroyed or downgraded in the process, at least in the short run.

Furthermore, studies suggest that routinisation, job market polarisation and new labour market inequalities have emerged in recent years. Thus, while the diffusion of the internet is generating opportunities, the phenomenon also comes with ambiguous trends that by themselves will not generate a more resilient and inclusive labour market. These changes cannot be treated as business-asusual developments by governments and the private sector. Failing to mitigate short-term job losses risks triggering pushbacks and restrictive policy responses that threaten to slow down the ICT (information, communication and technology) revolution.

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