Nov 03,2021

What Aspects of the Economy Has the Industrial Robotic Arm Affected?

Robots are increasingly used in every industry and will continue to exist. The use of industrial robotic arms has both positive and negative effects on enterprises and employees. Here are the various ways that industrial robotic arms affect the economy, let's take a look together.

Ⅰ. The emergence of the machine

For thousands of years, from simple farming tools to today’s factory assembly line robots, technology has been playing a role in improving work efficiency. Industrial robotic arms are becoming more and more widely used in business. They work with humans or replace them altogether.

Ⅱ. Productivity growth

A higher standard of living can be achieved by raising wages, lowering the prices of goods and services, and a wider range of products and services. What caused these things to happen was the increase in labor productivity, measured in terms of output per hour. Growth is caused by one or three of the following three factors: an increase in the quality of labor, an increase in capital and total factory productivity (TFP), also known as multi-factor productivity.

The improvement of labor quality comes from more and better education and training for employees. Capital promotes productivity growth through investment in machines, computers, robots, and other output-producing goods. TFP is generally regarded as an important source of productivity growth. It stems from the synergistic effect of labor and capital, and they work together as efficiently as possible. For example, keeping the education level and productivity of the labor force constant, if the machines they use increase productivity, then TFP will still increase. There is no doubt that industrial robotic arms make the "machine" aspect of production equipment more efficient. Even if the human factors in the factory remain the same, the increase in the efficiency of robotics will inevitably lead to an increase in productivity.

Ⅲ. GDP growth

Not surprisingly, as productivity increases caused by industrial robotic arm, gross domestic product (GDP) also increases.

Ⅳ. Create job opportunities

Many people don't realize that industrial robotic arms are actually creating new high-paying jobs that require skilled workers. It is true that robots are replacing low-skilled workers and automating the tasks they perform, but robots and automation require workers to focus on higher-value tasks. For example, in manufacturing, robots can perform difficult tasks such as raw material sorting, transportation, and inventory, while higher skills such as quality-related tasks, that humans are more suitable for can be completed by more skilled workers.