Comment on: “Occupational reallocation within and across firms: Implications for labor-market polarization” By T. Mukoyama, N. Takayama, and S. Tanaka

In many developing economies, labor markets have undergone a significant shift, with a decreasing share of routine occupations (e.g., assembly line workers) and a growing emphasis on cognitive occupations (e.g., software developers). Mukoyama et al. (2024) attribute this transformation to technological innovations driving the reorganization of work. Complementing this perspective, changes in the skill composition of the labor force also play a crucial role in explaining this occupational polarization.