TY  - GEN
T1  - On the possibility of automation-induced stagnation
A1  - Gasteiger,Emanuel
A1  - Prettner,Klaus
Y1  - 2017/03/16
N2  - We analyze the long-run growth effects of automation in the standard overlapping generations framework. We show that, in contrast to other neoclassical models of capital accumulation, automation does not promote growth but induces economic stagnation. The reason is that automation suppresses wages, which are the only source of investment in the overlapping generations framework.
KW  - Automation
KW  - Stagnation
CY  - Hohenheim
PB  - Kommunikations-, Informations- und Medienzentrum der Universität Hohenheim
AD  - Garbenstr. 15, 70593 Stuttgart
UR  - http://opus.uni-hohenheim.de/volltexte/2017/1338
ER  -