Learning by Doing: The Real Connection between Innovation, Wages, and Wealth"Bessen sets out to refute the arguments of . . . techno-pessimists, relying on economic analysis and on a fresh reading of history" ( The Wall Street Journal). Technology is constantly changing our world, leading to more efficient production. But where once technological advancements dramatically increased wages, the median wage has remained stagnant over the past three decades. Many of today's machines have taken over the work of humans, destroying old jobs while increasing profits for business owners and raising the possibility of ever-widening economic inequality. Here, economist and software company founder James Bessen discusses why these remarkable advances have, so far, benefited only a select few. He argues the need for unique policies to develop the knowledge and skills necessary to implement rapidly evolving technologies. Currently, this technical knowledge is mostly unstandardized and difficult to acquire, learned through job experience rather than in classrooms, but labor markets rarely provide strong incentives for learning on the job. Basing his analysis on intensive research into economic history as well as today's labor markets, Bessen explores why the benefits of technology can take decades to emerge. Although the right policies can hasten the process, policy has moved in the wrong direction, protecting politically influential interests to the detriment of emerging technologies and broadly shared prosperity. This is a thoughtful look at what leaders need to do to ensure success not only for the next quarter, but for society in the long term. "Everyone agrees that education is the key to wage growth. But what kind of education? . . . This enlightening and insightful book . . . shows that economic history can provide some useful and surprising answers." —Hal Varian, chief economist at Google |
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Learning by Doing: The Real Connection Between Innovation, Wages, and Wealth James Bessen Limited preview - 2015 |
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acquire affected American ATMs automated benefit Bessen changes Chapter companies cost cotton created decades decline demand designers early earn economic economists educated workers emerging employees employment engineers Erik Brynjolfsson example experience firms groups growth handloom hired human capital implementation important improvements increase Industrial Revolution information technology innovation institutions Internet inventors investment Joel Mokyr knowledge economy knowledge sharing labor markets large numbers learning curves less licensing Lowell LPNs machines major new technologies manufacturing mechanics mills needed nineteenth century nology occupations ordinary workers output per worker patent trolls percent political power loom procurement production profits programs purpose technologies QWERTY relative replace role sector Silicon Valley skilled workers skills and knowledge Software Patents specific standards start-ups steel stop motion tasks tech technical knowledge technol tellers textile tion today’s trade secret United wage premiums weavers weaving workforce