The Effect of Robotization in OECD Countries on Latin American Exports

Andreas Baur, Lisandra Flach, Isabella Gourevich

EconPol Forum 23 (5), 33-36

  • The effects of automation in high-income countries are not limited to domestic economies, but might spill over via global supply chains
  • We evaluate the effects of robot adoption in OECD countries on exports from Latin America to the OECD along the value chain
  • We combine detailed firm-level data for four Latin American countries with data on robot adoption and input-output linkages
  • In response to robot adoption, exports in the same industry decrease, but exports increase for products along the value chain
  • Our results indicate the importance of evaluating supply chain linkages when drawing policy conclusions about the effects of robotization