The Effect of Recent Technological Change on Wage and Employment on The Electrical and Electronics Industry in Thailand
This paper analyzed the impact of advanced technology, such as automation and robotics, on wages and employment in Thailand. I focused the effect on wages and employment in the electricals and electronics industries that have used these advanced technologies since 2011. I used data from the Labors Force Survey from 2007 to 2018from the National Statistical Office of Thailand. This paper used the Counterfactual of the wage distribution and the change in employment growth method. The Counterfactual compares the wages and employment before and after the industry uses advanced technology and control other factors constant. As the production of Electronics industries has complexity different from the Electricals industry, so I analyzed two industries separately. Also, I found the effect of wages and employment on three groups of labor that is the manual task, routine task, and abstract problem-solving task. The result indicated that the recent advanced technologies had more effect on the Electronics industries that have used complicated technology in production. It had a more positive effect on the wage of abstract-solving tasks. Furthermore, the recent advanced technologies not only substituted for tasks but created new tasks that labors must adapt and upskill.
Keywords - Kill-Biased Technological Change, Counterfactual