Power for progress: The impact of electricity on individual labor market outcomes
Jayes, Jonathan LU ; Molinder, Jakob LU and Enflo, Kerstin LU
(2025)
In Explorations in Economic History
98.
- Abstract
- How does new technology impact labor market outcomes? We address this question by examining the adoption of electricity in Sweden during the early 20th century. Leveraging detailed individual-level data that covers the entire labor market and exogenous variation in electricity access driven by proximity to hydro-power plants, we estimate the impact of electrification on individual labor market outcomes. Our findings show significantly higher earnings in electricity-adopting parishes compared to control areas. The income gains were particularly pronounced among lower-income workers and those with primary education only, resulting in reduced income inequality. These effects held across labor markets with both strong and weak union presence,... (More)
- How does new technology impact labor market outcomes? We address this question by examining the adoption of electricity in Sweden during the early 20th century. Leveraging detailed individual-level data that covers the entire labor market and exogenous variation in electricity access driven by proximity to hydro-power plants, we estimate the impact of electrification on individual labor market outcomes. Our findings show significantly higher earnings in electricity-adopting parishes compared to control areas. The income gains were particularly pronounced among lower-income workers and those with primary education only, resulting in reduced income inequality. These effects held across labor markets with both strong and weak union presence, suggesting that electricity functioned as a labor-supporting technology. Our results highlight how specific technologies can shape individual outcomes and income distributions. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/86ca2828-7c45-48e1-83a6-7bf1e0403e32
- author
- Jayes, Jonathan
LU
; Molinder, Jakob
LU
and Enflo, Kerstin
LU
- organization
- publishing date
- 2025-08-19
- type
- Contribution to journal
- publication status
- published
- subject
- keywords
- Technological change, Electrification, Labor demand, Infrastructure investments, N14, N34, N74, O14
- in
- Explorations in Economic History
- volume
- 98
- article number
- 101702
- publisher
- Academic Press
- external identifiers
-
- scopus:105012762055
- ISSN
- 0014-4983
- DOI
- 10.1016/j.eeh.2025.101702
- project
- Like moths to a flame: an individual level approach to technological change in 20th century Sweden
- Praise the people or praise the place: How culture and specialization drive long-term regional growth
- language
- English
- LU publication?
- yes
- id
- 86ca2828-7c45-48e1-83a6-7bf1e0403e32
- date added to LUP
- 2025-08-19 14:11:57
- date last changed
- 2025-08-20 13:06:07
@article{86ca2828-7c45-48e1-83a6-7bf1e0403e32,
abstract = {{How does new technology impact labor market outcomes? We address this question by examining the adoption of electricity in Sweden during the early 20th century. Leveraging detailed individual-level data that covers the entire labor market and exogenous variation in electricity access driven by proximity to hydro-power plants, we estimate the impact of electrification on individual labor market outcomes. Our findings show significantly higher earnings in electricity-adopting parishes compared to control areas. The income gains were particularly pronounced among lower-income workers and those with primary education only, resulting in reduced income inequality. These effects held across labor markets with both strong and weak union presence, suggesting that electricity functioned as a labor-supporting technology. Our results highlight how specific technologies can shape individual outcomes and income distributions.}},
author = {{Jayes, Jonathan and Molinder, Jakob and Enflo, Kerstin}},
issn = {{0014-4983}},
keywords = {{Technological change; Electrification; Labor demand; Infrastructure investments; N14; N34; N74; O14}},
language = {{eng}},
month = {{08}},
publisher = {{Academic Press}},
series = {{Explorations in Economic History}},
title = {{Power for progress: The impact of electricity on individual labor market outcomes}},
url = {{http://dx.doi.org/10.1016/j.eeh.2025.101702}},
doi = {{10.1016/j.eeh.2025.101702}},
volume = {{98}},
year = {{2025}},
}