The author provides a framework in which monetary policy affects firms’ automation decisions (i.e. how intensively capital and labor are used in production). This new feature has far-reaching consequences for monetary policy. Monetary expansions can increase output by inducing firms to invest and automate more, while having little impact on inflation and employment.
Find flyers, registration, and complete event details at https://crawford.anu.edu.au/news-events/events/19462/monetary-policy-age-automation