ABSTRACT
This chapter provides some historical background on the subject of automation versus unemployment starting with the 19th century. Gregory Woirol reasoned that there were four arguments as to why automation could create unemployment. First, there may be a lack of markets for the increased output. Second, there may be a lack of capital to employ released labor. Third, the rise in purchasing power from technological change hypothesized by Say's Law compensation theory would not occur. Fourth, technological change led to a constantly decreasing ratio of circulating to fixed capital. Approaching the trends in jobs and automation, C. B. Frey and M. A. Osbourne look at the likelihood of computerization of 702 job categories that existed in 2010 in the US. According to their analysis, "most workers in transportation and logistics occupations, together with the bulk of office and administrative support workers, and labor in production occupations, are at risk".
