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Research

Working Papers

Climate Change and the Reallocation of Jobs

Too Hot to Work? The Erosion of Male Comparative Advantage in Outdoor Jobs
Masahiro Yoshida
October 2026·Major Revision Requested at Journal of Labor Economics·Job Market Paper
Talks 2023: Waseda, Hitotsubashi (urban/trade), Kyoto (urban), GRIPS; 2024: Keio, Tokyo Labor Workshop, Trans-Pacific Labor Seminars, JEA (Fall), Econometric Society Australasian Meeting; 2025: Kansai Labor Workshop
I document that men without college degrees increasingly work outdoors, as indoor job opportunities shrink. Rising temperatures drive labor force withdrawal by eroding their comparative advantage in outdoor jobs.
Abstract

Non-college men have increasingly worked outdoors and left the labor force since the 1970s. I develop and test a task-based model in which heat lowers men’s outdoor productivity and raises the relative value of time at home, drawing them out of work. Using work-hour temperature across US commuting zones in 1980–2019, I find that manufacturing decline pushed men outdoors and that hot days reduce men’s participation through both outdoor and indoor jobs unprotected by air conditioning, with little effect on women. Within commuting zones, more exposed occupations lose both employment and wages, pointing to falling labor demand. Warming explains about 10% of the decline among non-college men, mostly through weak attachment rather than permanent exit. A model-based formula suggests that air conditioning in unprotected indoor workplaces would have avoided about a quarter of the resulting income losses.

Climate Change and Unemployment Dynamics: Evidence from U.S. Counties
W. Similan Rujiwattanapong, Masahiro Yoshida
August 2026·Under Review
Talks 2025: Waseda (micro/macro)
We show that climate exposure materially shapes monthly U.S. unemployment, but conventional seasonal adjustment masks the impact of climate change—even in the headline indicator guiding Federal Reserve policymaking and congressional debate.
Abstract

Seasonal adjustment removes 80% of within-year variation in unemployment. We develop an econometric framework showing how conventional seasonal filters attenuate estimated climate effects by removing economic variation associated with predictable climate exposure. Linking local weather to unadjusted monthly unemployment rates at the U.S. county level from 1990 to 2019, we find that unemployment would have been 11% lower on average absent extreme temperature days, whereas their effect on seasonally-adjusted series is largely obscured. The effect primarily operates through fewer job openings and hiring, alongside higher separations—especially layoffs—resulting in greater unemployment insurance recipiency and a slacker labor market. We then quantify the nationwide implications of long-run climate change: while milder winters have reduced unemployment, these gains are eroded by accelerating summer unemployment.

Man vs. Machine in an Aging Economy

Robots or Natives? Immigration Enforcement and the Reallocation of Dangerous Jobs
Masahiro Yoshida
May 2026
Talks 2024: Waseda (empirical), JEA (Spring)
Unauthorized immigration can sustain dangerous, labor-intensive jobs by slowing automation. Enforcement that removes immigrant workers may shift workplace injury risk onto natives rather than eliminate it by automation.
Abstract

Foreign labor represents a growing fraction of risky occupations that appear to be close substitutes of industrial robots. I investigate how dependency on immigrants interacted with robot adoption shaped a workplace injury risk in high-hazard sectors. Associating a wave of unskilled immigrants and workplace injuries across industries during 1992–2019, I find that immigrant workers substantially replaced native fatalities by crowding out natives out of risky jobs. Associated with cross-industry investment of robots, I also find that robot installation dramatically reduced injury risk, but the aggregate nationwide risk remains unabated from poor investments to riskier labor-intensive sectors (e.g., agriculture and construction). Then, I test a hypothesis that immigration inflow impeded the automation and preserved an injury risk for remaining laborers, including natives. Over-dependency on foreign labor may preserve the risky technology generating a social cost (e.g., disabilities; usage of opioids).

Immigration, Automation and the U.S. Cities: A Task-based Framework for Welfare Analysis
Masahiro Yoshida
August 2026
Low-skilled immigrants compete not only with native workers but also with robots. In a dynamic spatial task-based model, immigration initially lowers native wages but raises them in the long run by slowing automation.
Abstract

This paper revisits the longstanding question of how immigration shapes regional wages through its effects on automation. I develop a dynamic spatial framework in which tasks are allocated among industrial robots, natives, and immigrants, and semi-parametrically recover cross-factor substitution schedules from commuting-zone-level elasticities of economic outcomes with respect to immigration, instrumented by 1940 ethnic settlement patterns. Accounting for immigration-induced automation can reverse the estimated wage effects of immigration over 1980–2015. Low-skilled immigration initially reduces the wages of native workers in routine occupations but raises them in the long run by slowing automation adoption, enhancing domestic welfare. Finally, a universal basic income targeted to natives would increase reliance on both automation and immigrants by raising routine native wages.

Singularity and Seniority: Evidence from the Professional Hierarchy
Hideo Owan, Masahiro Yoshida
August 2026
Using four decades of move-level data from professional shogi, we find that ICT shifted peak performance toward younger players, whereas AI reverses this trend—suggesting AI can narrow age gaps among knowledge workers by democratizing high-quality learning.
Abstract

This study examines how digital revolutions shape the seniority premium among knowledge workers, using move-level game data from 40 years of professional Japanese chess (Shogi) league. We use two measures of productivity: a relative measure based on annual Grandmaster League rankings and an absolute measure based on the optimality of players’ moves as evaluated by an AI engine. We find that the AI revolution in the 2010s shifted peak performance to older ages, whereas the ICT revolution in the 1990s shifted it to younger ages, according to both measures. These results suggest the AI can reduce age-related disadvantages among knowledge workers by democratizing access to high-quality learning.

Journal Publications

Climate Change and the Reallocation of Jobs

Climate Change and the Decline of Labor Share
Xincheng Qiu, Masahiro Yoshida
May 2026·Accepted at American Economic Journal: Macroeconomics
Talks 2024: Waseda (macro); 2025: Econometric Society World Congress; 2026: JEA (Fall)
We provide a novel hypothesis for the puzzle of the U.S. labor share decline since 2000: climate change speeds up labor-saving technological change (e.g., robot adoption), as capital may be more resistant to temperature than labor.
Abstract

We study the impact of climate change on the labor share. Combining newly constructed US county-industry-level labor shares with climate variables, we find that extreme temperatures reduce the labor share, with stronger effects in industries with higher climate exposure and automation potential. Extreme temperatures also accelerate robot adoption. A back-of-the-envelope calculation suggests that the within-county-industry response to climate change accounts for 15% of the decline in labor share since 2000. Over the 20th century, however, the opposing effects of decreased cold days and increased hot days offset each other, consistent with the historical stability of labor share.

Earlier Work on Bargaining Theory

Deadline Credibility and Trade Efficiency
Masahiro Yoshida
June 2026·International Journal of Game Theory 55(2), 31
Do all deadlines in one-on-one market transactions need to be perfectly credible? Theory and laboratory evidence show that an imperfectly credible interim deadline can induce earlier concessions and improve trade efficiency.
Abstract

Many real-world negotiations are persistently delayed, yet imposing deadlines is costly because it induces inefficient separations. Do all deadlines in one-on-one market transactions need to be perfectly credible? To improve trade efficiency, I propose a mechanism that introduces an intermediate, imperfectly credible deadline to facilitate agreement. Using a canonical seller–buyer dynamic bargaining model with a credible deadline, I analytically characterize the optimal degree of credibility of such a deadline that maximizes trade efficiency, leading to early agreements without triggering separations. Under a non-zero risk of separation, the seller is tempted to discount the price to secure a payoff, while the buyer is more likely to accept at the intermediate deadline because pricing resembles ultimatum offers. A laboratory experiment provides direct evidence of the mechanism’s effects that extend beyond the theoretical benchmark.

Using a Soft Deadline to Counter Monopoly
Masahiro Yoshida
September 2025·Journal of Industrial Economics 73(3), 446–457
Can buyers turn deadlines against a monopolist? A “soft” deadline—imperfect commitment to exit early—restores Coasian price pressure, leaving buyers better off and suppressing monopoly power.
Abstract

A monopolist often exploits a hard deadline to raise their commitment power. I explore whether a group of buyers can employ a soft deadline to counter the monopoly. Using a simple durable goods monopolist model under a deadline, I show that the buyers’ imperfect commitment to an earlier exit may elicit a big sale from the monopolist and generate the buyers’ premium. The soft deadline partially restores the self-competition dynamics of Coase conjecture, which was previously constrained by the hard deadline. In the conventional wisdom on Coase conjecture, the shorter bargaining horizon (or, interpretably, less durability of goods) augments monopoly power. A soft deadline breaks this link: the horizon appears shorter, but the buyers may be better off in expectation.

Selected Work in Progress

Climate Change and the Growth of Disability Rolls: Evidence from U.S. Counties
Masahiro Yoshida, Shuhei Kaneko
2026
The costs of extreme heat may persist long after a hot day ends. We study whether heat exposure raises disability insurance applications and awards, a lasting burden on social insurance.
Too Hot to Marry? Rising Temperature and Declining Marriage among Millennials
Masahiro Yoshida
2026
Millennials are the first generation to come of age in the new century, experiencing the most severe warming during their formative years. I study whether rising temperatures reduce marriage among less-educated young men by weakening their prospects for stable outdoor employment.