The effect of information and communication technology on the employment of Iranian Industries

Authors

• Khosro Azizi ¹
• valiyollah abdolhosseini ²
• mahmod mahmodzade ³
• mehdi adibpour ⁴

¹ Department of Economics, West Tehran Branch, Islamic Azad University, Tehran, Iran

² Faculty of Humanities - Islamic Azad University - Firouzkoh branch

³ Associate Professor, Department of Economics, Islamic Azad University, Firoozkooh Branch, iran

⁴ Department of Economicو Shomal branch, Islamic Azad University, ،Tehran,, Iran.

10.30495/jzpm.2023.32115.4253

Abstract

The evolution of computers and information technology (ICT) has caused extensive changes in various industries and businesses. Today, a manufacturing industry can manage its production line with a small number of technicians and engineers guiding robots. Manufacturers of large parts can deliver the parts needed by the industries on time and ready for use in the assembly line. With the emergence and expansion of information and communication technology (ICT), economic variables have undergone significant changes. Among the most important of these variables is employment. Information and communication technology has its own characteristics that can make fundamental changes in the structure of employment. Information and communication technology affects the labor market; Therefore, it is important to investigate the impact of information and communication technology on the labor market and employment.The purpose of this research is to investigate the impact of information and communication technology on employment with two-digit code industries in Iran. For this purpose, the average approach of the combined data group and based on the annual data during the years 2009-2021 was used. In a model, the effect of information and communication technology in the short and long term on the employment of the labor force in Iran's cod industries was tested. The obtained results show that the short-term effect of information and communication technology (ICT) and real wages on the employment of Iranian industries is positive, the overall effect of capital and real wages on the employment of Iranian industries is positive and the effect of information and communication technology (ICT) is negative in the long term.

Considering that Iran is currently facing the problem of unemployment, it is possible to take a special look at information and communication technology and employment to reduce unemployment. Based on this and considering the existence of high unemployment in the country, it seems necessary to investigate its effect on employment, and this is important considering the characteristics of each industry, which requires special attention. The government should provide financial support to the company in order to reduce investment costs in the development of information and communication technologies.

Keywords

• Information and Communication Technology
• Employment
• Two-digit Code Industries
• .PMG Approach

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