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Home > Business and Economics > Economics > Macroeconomics > Learning by Doing: The Real Connection Between Innovation, Wages, and Wealth
Learning by Doing: The Real Connection Between Innovation, Wages, and Wealth

Learning by Doing: The Real Connection Between Innovation, Wages, and Wealth


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About the Book

"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

About the Author :
James Bessen, an economist, is a lecturer at Boston University Law School. He was founder and CEO of a software company that developed the first desktop publishing program.

Review :
"Mr. Bessen sets out to refute the arguments of . . . techno-pessimists, relying on economic analysis and on a fresh reading of history." --Tamar Jacoby, The Wall Street Journal "This important book is well written, clearly argued, and makes numerous salient points regarding the interactions between technological change, skill attainment, and earnings." --J.P. Jacobsen, Booklist "[T]his book offers rich historical detail. . . . Learning by Doing is a valuable contribution to business managers, historians, and economists alike." --Scott Alan Carson and Paul E. Hodges, Turkish Economic Review "James Bessen is uniquely qualified to interpret technology issues, having both rich historical expertise and startup experience. I especially like the way he demystifies the concept of skills and questions the apotheosis of college diplomas and intellectual property rights. This is one of the most hopeful yet realistic books in years." --Gavin Wright, author of Sharing the Prize: The Economics of the Civil Rights Revolution in the American South "James Bessen's provocative new book explores a critically important economic question: what is it that in some epochs, including today, severs the link between productivity growth and increases in the median wage? His answer, developed within a rich tapestry of historical narrative, focuses on the changing incentives faced by firms and individuals to invest in new skills and capabilities as technological systems are born, go through adolescence, and eventually mature. His analysis and policy recommendations offer many challenges to established ways of thinking." --Alexander J. Field, author of A Great Leap Forward: 1930s Depression and US Economic Growth "Today everyone agrees that education is the key to wage growth. But what kind of education? In this enlightening and insightful book, James Bessen shows that economic history can provide some useful and surprising answers to this question." --Hal Varian, chief economist at Google "James Bessen, an acute observer of economics and technology, thinks lags from learning-by-doing explain why the IT revolution hasn't yet boosted wages. A fascinating hypothesis--and book." --Eric S. Maskin, Nobel laureate in Economics


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Product Details
  • ISBN-13: 9780300213645
  • Publisher: Yale University Press
  • Publisher Imprint: Yale University Press
  • Language: English
  • Sub Title: The Real Connection Between Innovation, Wages, and Wealth
  • ISBN-10: 0300213646
  • Publisher Date: 28 Apr 2015
  • Binding: Digital (delivered electronically)
  • No of Pages: 310


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