The Wrong Kind of AI? Artificial Intelligence and the Future of Labor Demand
Artificial Intelligence is set to influence every aspect of our lives, not least the way production is organized. AI, as a technology platform, can automate tasks previously performed by labor or create new tasks and activities in which humans can be productively employed. Recent technological change has been biased towards automation, with insufficient focus on creating new tasks where labor can be productively employed. The consequences of this choice have been stagnating labor demand, declining labor share in national income, rising inequality and lower productivity growth. The current tendency is to develop AI in the direction of further automation, but this might mean missing out on the promise of the "right" kind of AI with better economic and social outcomes.
We thank Chris Ackerman, David Autor, Erik Brynjolfsson, Stu Feldman, Mike Piore, Jim Poterba and Hal Varian for useful comments. We gratefully acknowledge financial support from Google, Microsoft, the Sloan Foundation, the Toulouse Network on Information Technology, the Schmidt Sciences Foundation, the Smith Richardson Foundation, IBM, Accenture and the National Science Foundation. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.
Daron Acemoglu & Pascual Restrepo, 2020. "The wrong kind of AI? Artificial intelligence and the future of labour demand," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 13(1), pages 25-35. citation courtesy of