www.fss.muni.cz Inequality of globalization and technological turn ESOn4022: Inequality and Society Tomáš Doseděl dosedel@fss.muni.cz Return to Education •Both social-stratification and economic theories prove the importance of education for a (labor market) success • •Higher educated peoplw are able to work with higher efficiency •Therefore, the employers should prirotize them in the recruitment process Historical outline •1960s: Blau Duncan model of status attainment •1970s: inflation of credentials •1980s: technological change •1990s: polarization hypotheses •2000s: routine biased technological change •2010s: ??? 1960s: Blau Duncan 1970s: Inflation of Credentials •In 1970s, (western) universities undergone the first educational expansion •(cultural and sexual revolution, feminism, hippies, Vietnam war…) •Traditional scholars worried, whether the inflation of credentials will or will not occure •Randal Collins: The Credential Society •Bourdieu, Passeron, Beck Inflation of Education •If there is a •surplus of some goods • on the market, •its price •decrease Inflation of Education •If there is a •surplus of university educated • on the labor market, •its price •decrease Something is rotten in the state of Denmark •In 1980s, there is still no substantial inflation of university education, despite the share of university educated people more than doubled • •How is it possible? Technological change •Explanation: new technologies (computers) occured in the labor market •Higher qualification is needed to handle the computer (university) •The labor market is biased by the technological change to reward higher education (skill-biased technological change, SBTC) Technological change •skill-biased technological change, SBTC •Employees with higher skills are rewarded in the labor market (employment security, higher renumeration), but •People with low qualification are excluded from the labor market (globalization, outsourcing into developing countries, international transport…) Something is rotten in the state of Denmark •In 1990s, people with low qualification are still present on the (European) labor markets •Literally everyone can handle a computer, there is no need to pay for a university educated employee • •How is it possible? Polarization hypothesis •Higher qualified employees are renumarated for their skills •As the higher classes are getting richer, there is rising need for the service workers (gardneners, masseurs, au-pairs, nurses, messengers…) •The labor market is polarizing – the renumeration rise is visible in the top and in the bottom of the educational hierarchy Something is rotten in the state of Denmark •In 2000s, the occupations in the middle of the educational hierarchy are inexplicably disappearing •(secretaries, bank clerks) • •How is it possible? Routinization •Routine-biased technological change (RBTC) • •Labor market renumerate the people with non-routine occupations •Routine work can be easily replaced by machines • •Task-biased technological change (TBTC) Routinization •Secretary = computer with Word and Outlook •Bank clerk = internet banking •Factory operator = robot, cobot •… • •https://www.youtube.com/watch?v=sjAZGUcjrP8 • Technological turn •2010s: the rise of artificial intelligence •Even the tasks considered as highly qualified and non-routine can be suddenly performer by computers •Car driving, legal advisement, journalist work, medicine • Technological turn •In the first time in the history of mankind the technological change destroys the occupation for all educational groups and do not create new occupations •What is the future role of education? •