Monday, August 12, 2024

[NJFAC] Effect of AI Adoption on Jobs

The Effect of AI Adoption on Jobs: Evidence from USCommuting Zones August 12, 2024 Bonfiglioli, Crinò, Gancia, & Papadakis, Voxeu 8/24 Harnessing the potential of artificial intelligence has become one of the top priorities for policymakers around the world. Yet, doing so first requires a thorough understanding of the effects of these technologies on labour markets. Using data across US commuting zones over the period 2000-2020, this column presents evidence that AI adoption has reduced employment, except in high-paying occupations and those requiring a degree in STEM disciplines.

....

Between 2000 and 2020, the employment share of AI-related occupations has almost doubled in the US, rising from 0.14% to 0.20%. Most of this increase has taken place after 2010. There are sizable differences in the diffusion of AI technologies across industries. AI adoption is most prevalent in the service sector, especially in advanced branches such as information, professional, scientific and business services. It is also important in some utilities, such as electricity, and in some areas of the public sector, such as national security and international affairs. Conversely, AI adoption is still limited in manufacturing. This feature distinguishes AI adoption from the use of industrial robots, which is mostly concentrated in the manufacturing sector (Acemoglu and Restrepo 2020).....

Conclusions

Recent improvements in the field of AI have triggered much hype about the future of work. While nobody can predict the exact direction that new innovations and applications will take, we think that it is important to start from understanding the consequences that these technologies have already had. Our results point toward robust negative effects of AI adoption on employment for most workers and sectors. While more micro-level evidence is needed to precisely identify the mechanism through which these negative effects unfold, our evidence is nevertheless consistent with the view that AI is contributing to the automation of jobs and to widening inequality.


--
June Zaccone
National Jobs for All Network
http://www.njfac.org

--
This list is only for announcements, so you may not post. To contact the list manager, write to junez [at] njfac.org
---
You received this message because you are subscribed to the Google Groups "goodjobs" group.
To unsubscribe from this group and stop receiving emails from it, send an email to goodjobsforall+unsubscribe@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/goodjobsforall/CAPV%3DhmB9sDB6Jfu5d8t_EPTiH1vL8uftf8_krwUG0Udt4DvGsw%40mail.gmail.com.