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Technology And Learning By Factory Workers: The Stretch-Out At Lowell, 1842, James Bessen
Technology And Learning By Factory Workers: The Stretch-Out At Lowell, 1842, James Bessen
Faculty Scholarship
In 1842 Lowell textile firms increased weaving productivity by assigning three looms per worker instead of two. This marked a turning point. Before, weavers at Lowell were temporary and mostly literate Yankee farm girls; afterwards, firms increasingly hired local residents, including illiterate and Irish workers. An important factor was on-the-job learning. Literate workers learned new technology faster, but local workers stayed longer. These changes were unprofitable before 1842, and the advantages of literacy declined over time. Firm policy and social institutions slowly changed to permit deeper human-capital investment and more productive implementation of technology
The Skills Of The Unskilled In The American Industrial Revolution, James Bessen
The Skills Of The Unskilled In The American Industrial Revolution, James Bessen
Faculty Scholarship
Were ordinary factory workers unskilled and was technology "de-skilling" during the Industrial Revolution? I measure foregone output to estimate the human capital investments in mule spinners and power loom tenders in ante-bellum Lowell. These investments rivaled those of craft apprentices, suggesting a different view of industrial technology. Accounting for skill, multi-factor productivity growth was negligible, contrary to previous findings. From 1834-55, firms made increasing investments in skill, allowing workers to tend more machines and generating rapid growth of per-capita output. This growing investment was motivated partly by changing factor prices and more by a changing labor supply. Calculations show that …
New Plants As Natural Experiments In Economic Adjustment: Adjustment Costs, Learning-By-Doing And Lumpy Investment, James Bessen
New Plants As Natural Experiments In Economic Adjustment: Adjustment Costs, Learning-By-Doing And Lumpy Investment, James Bessen
Faculty Scholarship
A large sample of new plants is studied to reveal detailed adjustment behavior for capital, labor and productivity. Once production has begun, capital adjusts almost as quickly as labor. Overall, capital adjustment is lumpy while labor follows a learning-by-doing model rather than a convex adjustment cost model. Plants are quite heterogeneous, however: convex adjustment costs appear important at small plants, but large plants exhibit lumpy investment and substantial investment in learning-by-doing. A positive association between plant productivity growth and wages (and also the change in wages) corroborates the importance of learning-by-doing. Also, learning-by-doing appears to influence the behavior of large …
Productivity Adjustments And Learning-By-Doing As Human Capital, James Bessen
Productivity Adjustments And Learning-By-Doing As Human Capital, James Bessen
Faculty Scholarship
This paper measures plant-level productivity gains associated with learning curves across the entire manufacturing sector. We measure these gains at plant startups and also after major employment changes. We find: 1) The gains are strongly associated with a variety of human capital measures implying that learning-by-doing is largely a firm-specific human capital investment. 2) This implicit investment is large; many plants invest as much in learning-by-doing as they invest in physical capital and much more than they invest in formal job training. 3) This investment differs persistently over industries and is higher with greater R&D. 4) Consistent with a learning-by-doing …