green-O-vations

Volume 4, Issue 1

ECONOMIC IMPACTS OF MECHANIZATION ON NURSERIES AND GREENHOUSES

Workers in participating wholesale nurseries and greenhouses in eight southern states perform about one-fifth of their main tasks with some form of mechanization. The increase in total workers earnings associated with improved mechanization indicated that nurseries and greenhouses were able to pay their workers higher wages and salaries. The increased levels of mechanization produced neutral effects on employment and raised the value of the marginal productivity of labor, implying that technology adoption by wholesale nurseries and greenhouses did not displace any worker but instead improved total workers earnings.

Source: Posadas, Benedict C. 2012. Economic Impacts of Mechanization or Automation on Horticulture Production Firms Sales, Employment, and Workers’ Earnings, Safety, and Retention. HortTechnology, 22(3): 388-401.