The Research Challenges of the AI Labor Market Challenges

Eric A. Hanushek
Lisa Simon
Jacob Light
Published Date
Medium, Golub Capital Social Impact Lab
Technology-driven economic disruption has been a feature of modern economies since the early days of the Industrial Revolution. Technological advances in the economy present both challenges for firms and workers tied to outmoded production methods and great opportunities for those able to adapt. There is, however, reason to believe that the current wave of technological disruption may differ qualitatively from past waves in both the scope and speed of change. In particular, the increasing application of artificial intelligence (AI) across the economy has the potential to dramatically transform work across sectors. The World Economic Forum estimates that AI technology could displace 75 million jobs worldwide, while creating 133 million new roles to complement the new technology (World Economic Forum, 2018a). How market forces will deliver these outcomes and how government policies can ease the costs and improve the outcomes of technology-driven economic change are open questions.