Robotic Applications,Firm-scale Differentiation and Labor Share
How robotic applications affect income distribution has attracted widespread attention.Using micro aggregated data from Chinese industrial firms,and drawing on the mean-covariance decomposition of labor share at the"provincial-industrial"level,this paper examines the impact and mechanism of industrial robot import applications on labor share from a firm-scale differentiation perspective.The results reveal that robotic applications not only reduce the average labor share but also exacerbate the negative structural effect of a larger firm with a lower share,thereby reducing the overall weighted labor share.Robots reduce labor share by promoting capital substitution for labor,improving labor productivity and expanding scale,and they also lead to a scale differentiation effect and thus lower labor share.The findings provide new evidence about the structural changes in the labor share among firms caused by the application of AI technologies such as robots,and provide new ideas for increasing labor share and improving income distribution.