Albuquerque

Publications

The Future of Work in the Age of Automation: Proceedings of a Workshop on Norbert Wiener’s 21st Century LegacyJournal articleHeather A. Love, Greg Adamson, Mallory James, Jason Lajoie, Iven Mareels, Zach Pearl, Daniel S. Schiff, Ketra Schmitt, Thirumala Arohi, John Buchanan, et al., IEEE Transactions on Technology and Society, pp. 1-23, 2024

This article synthesizes the insights gained through presentations and discussions at the 2023 IEEE Workshop on Norbert Wiener in the 21st Century (21CW2023), which focused on “The Future of Work in the Age of Automation.” Hosted at Purdue University, this interdisciplinary convening of technologists, social scientists, and humanists explored the impacts of automation on labor, drawing on Wiener’s legacy of insights as a backdrop to examine the technologically mediated future we face in coming decades. The workshop presented a rare opportunity to reflect critically on these issues at a pivotal moment in human and technological history, and to elicit underappreciated dimensions. Areas of focus include: the qualitative and quantitative losses associated with automation and AI, the impacts automation has for questions about the meaningfulness of work, the challenges we face related to uncertainty and lack of predictability in technological advancement, and the opportunities that exist for centering human values and agency in these conversations. While acknowledging many items for concern in the context of automation in the future of work, such as the domination of economic narratives, a potential loss of qualitative texture, and the neglect of certain issues key to human identity, the authors conclude by offering optimistic visions—or calls—for redefining value and labor, preserving human agency, and embracing creative problem-solving.

Femicide Rates in Mexican Cities along the US-Mexico BorderJournal articlePedro H. Albuquerque and Prasad R. Vemala, Journal of Borderlands Studies, Volume 39, Issue 5, pp. 1-15, 2024

Mexican cities along the US-Mexico border, especially Cd. Juarez, became notorious due to high femicide rates supposedly associated with maquiladora industries and the NAFTA. Nonetheless, statistical evaluation of data from 1990 to 2012 shows that their rates are consistent with other Mexican cities’ rates and tend to fall with increased employment opportunities in maquiladoras. Femicide rates in Cd. Juarez are in most years like rates in Cd. Chihuahua and Ensenada and, as a share of overall homicide rates, are lower than in most cities evaluated. These results challenge conventional wisdom and most of the literature on the subject.

Increasing Impact of Spain on the Equity Markets of Brazil, Chile and Mexico During the Neoliberal Reforms of the 1990sJournal articleAndrés Rivas, Rahul Verma, Antonio Rodríguez and Pedro H. Albuquerque, Innovation Journal of Social Sciences and Economic Review, Volume 5, Issue 3, pp. 08-20, 2023

The article examines stock index price responses in Brazil, Chile, and Mexico to those in the US, Spain, and four European countries during three sub-periods surrounding the neoliberal reforms of the 1990s: 1988 to 1994, 1995 to 1998, and 1999 to 2004, using VAR modeling. It finds that equity markets became more interconnected as countries opened to international trade and capital flows, and that there was an increasing impact of Spain on Latin American equity markets. Stronger economic linkages (more trade and foreign direct investment) between Spain and these countries, especially in Brazil, seem to explain increased equity markets’ interconnectedness.

Sans résumé.

Technological innovations and obsolescence: Leveling the playing field for remanufacturingJournal articlePedro H. Albuquerque and Kiara S. Winans, 2023

In a linear economy, manufacturing is less costly and more profitable than remanufacturing because of reduced private costs of utilization and production. However, manufacturing also involves higher resource extraction and waste as externalized costs than remanufacturing. We use a vintage capital framework to assess technological innovations in remanufacturing and their potential benefits to society and human occupations. Our study shows that replacing manufacturing with remanufacturing technologies creates positive static and dynamic circular economy externalities. These externalities can be quantified to assess improvements in social outcomes. A smartphone remanufacturing innovation case study is presented as an illustration of the article’s main ideas. Future research should investigate additional specific cases to develop a comprehensive methodology for assessing the impact of remanufacturing innovations on social outcomes. This will provide valuable insights into the broader implications of remanufacturing practices.

Social Implications of Technological Disruptions: A Transdisciplinary Cybernetics Science and Occupational Science PerspectiveJournal articlePedro H. Albuquerque and Sophie Albuquerque, pp. 1-5, 2023

In this article we argue that the disruptive social implications of skill-replacing technological innovations are determined neither by human characteristics, such as “low skills” or “low cognition,” nor by task characteristics, such as “routine,” as it is typically assumed in the predominant economics and management science literature, but by the cybernetic characteristics of the innovations. We also propose that the negative effects of technological disruptions on human well-being cannot be fully understood without the use of a transdisciplinary approach involving cybernetics science and occupational science, and that it is urgent that policymakers look beyond their narrow effects on productivity and on the labor force, and consider instead the complexity of the interactions between cybernetic technologies and meaningful human occupations. We offer as an example the case of the fast adoption of online food delivery services and of remote work technologies during the COVID-19 pandemic. Ethical implications are derived from the arguments.

Optimal Time Interval Selection in Long-Run Correlation EstimationJournal articlePedro H. Albuquerque, Journal of Quantitative Economics, Volume 18, Issue 1, pp. 53-79, 2020

This paper presents an asymptotically optimal time interval selection criterion for the long-run correlation block estimator (Bartlett kernel estimator) based on the Newey–West and Andrews–Monahan approaches. An alignment criterion that enhances finite-sample performance is also proposed. The procedure offers an optimal alternative to the customary practice in finance and economics of heuristically or arbitrarily choosing time intervals or lags in correlation studies. A Monte Carlo experiment using parameters derived from Dow Jones returns data confirms that the procedure can be MSE-superior to alternatives such as aggregation over arbitrary time intervals, parametric VAR, and Newey–West covariance matrix estimation with automatic lag selection.

Banking stability, natural disasters, and state fragility: Panel VAR evidence from developing countriesJournal articlePedro H. Albuquerque and Wassim Rajhi, Research in International Business and Finance, Volume 50, Issue C, pp. 430-443, 2019

Panel VAR methodology is used in this study to empirically evaluate the effects of natural disasters and state fragility on economic and financial dimensions in developing countries such as GDP per capita, banking and financial system deposits, banks’ Z-scores, and non-performing loans. Results based on three panels of up to 66 countries and 17 years of annual data indicate that natural disasters and state fragility may cause significant economic and financial disruption in low-income and middle-income countries. Shocks from natural disasters seem to be temporary and detrimental only to non-performing loans, while shocks from state fragility appear to be permanent and to create detrimental economic and financial feedback loops.

The effect of oil price on China's exportsJournal articlePedro H. Albuquerque, Joao Ricardo Faria, André Varella Mollick and Miguel A. Leon-Ledesma, China Economic Review, Volume 20, Issue 4, pp. 793-805, 2009

The increase in oil prices in recent years has occurred concurrently with a rapid expansion of Chinese exports in the world markets, despite China being an oil importing country. In this paper we develop a theoretical model that explains the positive correlation between Chinese exports and the oil price. The model shows that Chinese growth can lead to an increase in oil prices that has a stronger impact on its export competitors. This is due to the large labor force surplus of China. We then examine this hypothesis by estimating a reduced form equation for Chinese exports using Rodrik [Rodrik, Dani, 2006. What's so special about China's exports? China and World Economy 14, 1-19.]'s measure of export competitiveness, together with the oil price, productivity, real exchange rate, and foreign industrial production over the monthly 1992-2005 period. The results suggest a stable relationship and yields slightly positive values for the price of oil and elastic coefficients for export competitiveness, along with the expected negative elasticity for the real exchange rate.

Framing cognitive machines: A sociotechnical taxonomyJournal articlePedro H. Albuquerque and Sophie Albuquerque, Forthcoming

Aims: we propose a sociotechnical taxonomy for the analysis of socio-economic disruptions caused by technological innovations. Methodology: a transdisciplinary principled approach is used to build the taxonomy through categorization and characterization of technologies using concepts and definitions originating from cybernetics, occupational science, and economics. The sociotechnical taxonomy is then used, with the help of logical propositions, to connect the characteristics of different categories of technologies to their socio-economic effects, for example their externalities. Results: we offer concrete illustrations of concepts and uses, and an Industry 5.0 case study as an application of the taxonomy. We suggest that the taxonomy can inform the analysis of opportunities and risks related to technological disruptions, specially of those that result from the rise of cognitive machines.