Data for: Labor-Technology Substitution: Implications for Asset Pricing

This data provide the share of routine-task labor (iRShare) at the detailed SIC 3-digit (before 2002) and NAICS 4-digit (after 2002) industry level during 1990-2018. The measure is constructed following the methodology in Zhang (2019) but using the publicly available Occupational Employment Statistic data provided by the Bureau of Labor Statistics. Some features of iRShare are:

1. iRShare features a time-varying definition of routine-task labor, and hence it accounts for occupations that changed from not been replaceable by technology in early years to been replaceable in later years as technology progresses.

2. iRShare can be easily matched to the Compustat firms and CRSP stocks.

3. iRShare is updated yearly during 1990-2018.

A note on the construction of iRShare and using iRShare to replicate two key findings in Zhang (2019) regarding the cross-section of firm risks and firm investment in technology over the business cycle is available in www.MiaoBenZhang.com.