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Digitalization and Globalization

This research project's primary goal is to develop a better understanding of how globalization affects labor market outcomes. The project will also analyze how recent digitalization and automation changes put pressure on firms and workers and how this is related to globalization. We will analyze the effects of globalization and digitalization in a Swedish context, which should provide insights with clear relevance for Swedish policymakers. We also believe our project has broad scientific relevance and that results are of interest to researchers active in international economics and labor economics.

Project manager

Despite the extensive public and academic debate on the effects of digitalization and automation, empirical evidence is scarce. Our analysis will be based on detailed matched employer-employee data for the period 1996-2013. There are a variety of important issues that we will explore in this project. More generally, our research will shed light on a number of critical issues such as the identification of the individual characteristics of those who gain and lose from globalization and digitalization, the effects of globalization on the organization of firms and corporations, and its implications for labor market outcomes, the impact of globalization and digitalization on wage inequality and job insecurity, what is the role played by firms in how new technologies are being implemented, to what extent are unemployment risks due to increased digitalization related to wages and educational levels for individual occupations, the interplay between digitalization, globalization and labor market outcomes, how is the internationalization of firms linked to digitalization, and do internationalized firms have a mix of employees with occupations that are systematically different from, e.g., local firms in terms of automatization and digitalization of jobs.