Dear Anil Kumar, 

Human capital - a body of knowledge and skills that are used to meet the diverse needs of individuals and society as a whole.

Human capital in the broadest sense - is an intensive productive factor of economic development, the development of society and the family, including the educated part of the labor force, knowledge, tools, intellectual and administrative work.

In today's global world, thanks to universal education and universal testing, we find ourselves in a situation where all the precious human resources extracted on the surface, to public review, selection and plundering. It is not just about brain drain and leak genofonda1 in general.

The development of information technologies is the most characteristic feature of modern social evolution and the main reason of its acceleration. It is information technologies that are the main reason for the society of disparate regions and countries to become a single system.

With kind  regards, Shafagat

Dear @Anil, I think that we should establish  a good  balance between technology use and continuing education of workers in terms of skills and knowledge in order to acquire new technologies. Automation for example. Each high-tech company must be socially responsible toward society.

Let me bring to your attention fine research paper Does More Technology Create Unemployment?

http://www.cato.org/pubs/pas/pa068.html

Dear Colleagues,

Good Day,

"Technological Advancement, Unemployment and Rent Seeking

In everyday language, "technological advancement" means some change allowing the production of more goods and services. The familiar connotative meaning of the term centers on the use of machines--new lathes, robots, computers, and the like. However, any better, faster, or more efficient way of producing is a technological advancement; better knowledge will suffice, even without a new tool or machine. When one discusses the depreciation of human capital, which can be viewed as the natural obsolescence of job skills over time, the importance of plain human learning as a form of technological advancement becomes even more apparent. Technological advancement also implies an increase in standards of living, which may result from either greater output or more leisure while maintaining the same level of output. In short, "technological advancement" may be defined as any change in a production process leading to higher standards of living through increased output from the same amounts of resources or through the use of fewer resources to produce the same level of output.

The meaning of "unemployment" is more difficult to establish. The Labor Department reports as unemployed those persons without jobs who are seeking employment, even though the jobs they seek do not exist and other jobs do. This definition obviously stacks the cards. For example, a union electrician who is not working is classified as unemployed even though he is not willing to accept available employment in non-union electrical work at 75 percent of union scale. This can be taken to an extreme. Almost all of us are either not earning as much as we would like to earn or not working at the job we would most prefer. If we chose not to work while waiting for something better, we would all be unemployed.

Consequently, the most useful definition of an "unemployed" person is someone who is willing and able to work at market wage rates but is denied the opportunity to do so. The type of unemployment relevant to this discussion is involuntary unemployment, the inability to find work even when all alternative occu- pations and wage rates are taken into account. One should note that leisure time, what some might call "voluntary unemployment," is a desirable object of economic progress.

The definition of unemployment given above is not meant to define the problem away. Clearly, there was involuntary unemployment during the 1930s and there may be some today. However, it is meant to exclude, for example, the automobile worker displaced by a machine or by other means who will not accept work for some period of time at lower wages elsewhere or in other occupations when jobs are available. This person is a rent seeker. Rent is earned by a worker who receives wages above those that would be paid in a competitive market. The difference between the actual wage and the competitive alternative wage is the rent. "Economic rent," then, is the extra income received by workers (or other factors of production) above the income required to obtain their services by meeting their costs and at least equaling their possible returns from their next-best employment opportunity.

In a sense, we are all rent seekers: we all attempt to obtain some degree of monopoly power so that our wages will be above the competitive norm. Most of us do not succeed, but some groups of workers do. Automobile assembly-line workers, whose tasks are learned in a matter of weeks, often receive far more than they could earn in alternative, non-unionized firms or industries. Many government employees, typically protected by civil service work rules, occupy positions for which many applicants would vie at far lower salary levels. Hundreds of applicants often queue up for just one or two civil service openings. Workers who receive economic rent are willing to expend resources, money, time, and energy to hold on to that rent, a significant point to remember.

Rent is an involuntary subsidy obtained by one group at the expense of others, since wages must be lower in occupations not enjoying monopoly power (and, hence, not enjoying rents) than the wages that would be paid under conditions of free entry into all occupations. If, suddenly, there were free entry everywhere, wages would fall in the protected industries as workers were drawn in and wages were bid downward, while wages would rise in the unprotected industries from which workers would be drawn. Thus, the elimination of economic rents through the elimination of monopoly power not only contributes to economic efficiency but is equitable as well." ......

Please, the links provided for more details:

http://www.cato.org/pubs/pas/pa068.html

http://www.swcollege.com/bef/policy_debates/unemployment.html

Dear Anil Kumar, 

Human capital - a body of knowledge and skills that are used to meet the diverse needs of individuals and society as a whole.

Human capital in the broadest sense - is an intensive productive factor of economic development, the development of society and the family, including the educated part of the labor force, knowledge, tools, intellectual and administrative work.

In today's global world, thanks to universal education and universal testing, we find ourselves in a situation where all the precious human resources extracted on the surface, to public review, selection and plundering. It is not just about brain drain and leak genofonda1 in general.

The development of information technologies is the most characteristic feature of modern social evolution and the main reason of its acceleration. It is information technologies that are the main reason for the society of disparate regions and countries to become a single system.

With kind  regards, Shafagat

Dear Colleagues,

Good Day,

Why Technological change can increase unemployment

If labour markets are flexible, then technological change will not cause unemployment. However, if there are labour market inflexibilities, then it can cause unemployment – at least, for a certain time period.

For example, due to technological change, coal miners may lose their jobs. However, due to occupational and geographical immobilities, they may be unable to take new jobs in the service sector. (e.g. a miner may not have skills to work in computers; he may find it hard to relocate).

In this case, technological change can cause a temporary increase in unemployment – which will last until the coal miners develop greater skills and ability to move.

I don't think that the development of technology can cause unemployment. Take the case of mobile revolution, prior to which people were primarily relying on postal services to pass messages, and lots of people (on governmental sector) were relying on it for their living. Once mobile phones took control of our "communication market", lots of job opportunities were created at the expenses on the job losses in the postal sector.

What we actually see is that the type of job changes without actually diminishing the number of job opportunities. 

How a country cope with the technological revolution depends upon how it deploys its human resources, and how fast it achieves so!!

No, development of Technology is not one of the main factor of unemployment. I personally feel, in our country why every people think that a job means private company, Govt. job,..etc. but not Cultivation. For me Cultivation is one type job. And the main factor is Our people are not so much serious about their future even their future generation. And also, little bit lazy.. 

Dear friends, I am free to invite you to my thread which is very related to this one. It brings many good answers.

https://www.researchgate.net/post/Can_we_consider_automation_as_the_enemy_of_employment

Hi Anil,

Want to share that technology (including automation) is not negatively impacting unemployment in long term (see RG link below for various justifications).  Also agreed that this topic is similar & related to the RG post that Ljubomir had posted sometimes back (see the same RG link below).

https://www.researchgate.net/post/Can_we_consider_automation_as_the_enemy_of_employment/17

As stipulated in my article in above RG link, want to share 1 phenomena from my experience in IT Process Automation whereby IT staff in some Asia countries in fact still being employed to manage IT manually because their labor costs are relatively lower than the costs to deploy IT Process Automation which will incur many folds higher initial implementation costs - based on above many organizations in those Asia countries still reluctant to deploy IT Process Automation as there is no business case.

Regards,

Fung

Dear friends, from an anthropological pointo of view, habits and costums are traditinally conservative. Thay can change but at the expense of high costs and an enormous charge of energy. In contrast, technologies are much more dynamic. This is one reason why we have the impression of the question set out by Anil.

However, it is important not to fall one more time, into the division of "the two cultures". Education is but one feasible way to overcome that distinction and bridge up both sides or dimensions.

Right dear César. And this is what he digital divide consists of, nowadays.

There is a saying in Amharic "ህልም ተፈርቶ ሳይተኛ አይታደርም" literally saying " fear of a dream(night mare) will not prohibit one from sleeping" as sleeping is a natural imperative to rest and rejuvenate our brain in order to refresh and perform our jobs with more energy and enthusiasm.

Fear of lose of jobs will not prohibit humans to create new technologies that facilitate proficiency and enhance life and these advances force  society to learn advanced skills and techniques to be creative and knowledgeable about things so that employment is equally available in advanced form. Let us not forget that technologies alone can not do things by themselves, humans are required side by side. 

At the earlier stages technology has become the progressive part of development in various areas which have help to move the offer opportunity in various areas of engineer ,finance ,administration ,management H.R.D ,Quality Control ,Marketing & with expansion the opening of branches in certain cases at various places . 

This has given the opportunity of employment & to take the advantages of opportunity ,young generation have started to go for career development Program in higher education field & which their achievement they is used to receive an opportunity to join the corporate sector & used their knowledge & implementation of it which have help the expansion of organisation & thereby creating more opportunities for their employment .

In the field of technology new invention had appeared in the line with the growth of development to add to this computer & related tech have become an important elements in the finance ,material management ,& such other related areas .

All the new technology development have taken the work of human factors & have created the vacuum in their areas .

I personally feel that technology is not the cause of unemployment but failing to adapt the interface of technology with the work is causing unemployment. Reluctance to learn new things is causing unemployment.

Dear Colleagues,

Good Day,

Here is  the "Top Five Reasons for High Unemployment in US":

"Here's what Michael Snyder of Daily Markets has got to say about the real unemployment scene in the country: It now takes the average unemployed worker about 33 weeks to find a job. There are millions of Americans that have not been able to find a full-time job even after searching hard for an entire year.

He says the economy is dying and its' not just creating enough jobs for the people.

Snyder has listed out some reasons why the job market is entirely hopeless. Some of those are the following:

1. Fewer new openings: Post-crisis, the number of new job openings in the country crashed to below 3 million jobs whereas there used to be 4.5 million new openings before it.

2. Lack of real growth: The economy is gripped by chronic lack of real growth. A measly 36,000 jobs were added in January whereas economists have concluded that at least 150,000 new jobs are needed to keep up with the rise in population.

3. Government sector layoffs: Government sector jobs, which are considered the safest, are becoming a dangerous option as state and local governments are continually cutting jobs.

4. Chinese job grab: China is taking away U.S. jobs in hordes. Unbelievable cost advantages in China, thanks to its ultra low labor costs, are moving thousands of jobs into China and away from the U.S. each year. Plus, the bulging trade deficit is slowly eating up the U.S. economy as hundred s of billions of dollars are going to the rest of the world.

5. High taxes. Snyder says businesses pay more taxes in the United States than just about anywhere else in the world. This means many businesses are literally pushed out of the country, and with that, jobs too vanish."....

Please, see the following link 

http://www.ibtimes.com/top-five-reasons-high-unemployment-us-265035

Will the Rise of The Robots Implode the World Economy?

"In the long run, it could have a dramatic impact and I think we are already beginning to see that. As you eliminate workers and people become unemployed or their wages fall, consumers will have less purchasing power to buy the products and services produced by the economy. As a result, there will be less and less demand. Economists all over the world are talking about this issue. In Europe, for example, there are concerns about inflation because there is not enough demand for products and services. If you project this forward, there are going to be a lot of people who are either unemployed, underemployed, or struggling financially, who simply won’t have discretionary income to spend..."

http://news.nationalgeographic.com/2015/06/150603-science-technology-robots-economics-unemployment-automation-ngbooktalk/

Hi, I like to say thanks for your beautiful, remarkable suggestion and concept . 

Actualy, the development of technology creates jobs to the extent that increases productivity.

If the level of productivity of farms around the world were at the same level of just 100 years ago, we would have widespread hunger around the world.

Indeed, the world produces more food than can be consumed, and yet there is hunger.

The problem of unemployment is due more to economic policies baseless than the development of the technology itself.

Another problem is military spending, which do not generate any benefit except for those who manufacture weapons.

If governments would use the economic science, unemployment around the world would be much lower than the current one and there would be no hunger in the world.

The problem is the people understand this.

I agree with the statement that "The problem of unemployment is due more to economic policies than the development of the technology itself."

In fact use of advanced technologies and innovation provides incentives for better rewards and employment --(see for example Apple and Google.)

Knowledge workers are key towards the success of good employment and economic progress.

Conference Paper Why Companies embracing Online web-enabled Product Developme...

Dear Anil, if you remember the days when computers were about to launch in the banking sector, there was a fear of loosing jobs and it was expected that there will be very less requirement of new Joines...but after the induction of the computer the work have become convenient and faster and after the induction of the ATM and other facilities the transaction and other works have become speedy.....and you will find that their is still the same or higher demand of the workers in that sector.

So, technology is always to help us if we use it properly...now you can take another example of postal department...though the requirement of postman have reduced but the other avenues are opened for new jobs.

Similarly see the business of STD PCOs and Cyber cafe's......now you will find n number of Cell phone shops and recharge voucher shops which has opened the venues for the people who are not well to do to invest money for the business but with the small investment they can start their own business. 

Rise of the Machines: Robots and the New World of Work!

"The jobs likely to be most affected by automation will be those in the service sector but according to Ford, "nearly any white-collar job that involves sitting in front of a computer manipulating information" is also under threat. Today, services are feeling the effects of cognitively advanced machines replacing human workers - self-service checkouts, online banking services and e-commerce are a few examples. Such advances could pale into insignificance when a revolution in automation hits our workplaces in the next two decades and Ford's book gives some examples of what we can expect..."

http://www.huffingtonpost.com/philip-jennings/rise-of-the-machines-robo_b_8608184.html

Hi Anil - a cheeky answer might be that technology development in Company A or Country A can cause unemployment in Company B or Country B if the latter does not keep up.

Skills and spatial mismatch may help explain part of the unusually high amount of unemployment relative to the number of vacancies. Essentially, a skills mismatch means workers are less likely to be hired because they do not have the correct skills.

https://www.federalreserve.gov/communitydev/pdfs/Workforce_errata_final2.pdf