Abstract
Abstract Some observers expect that the current wave of new tools based on artificial intelligence (AI) models, such as the large language models, will have strong effects on labor productivity. I present definitions and classifications that help understanding AI as an economic input. I then review theoretical and empirical arguments about macroeconomic productivity effects of AI and conclude that research has so far found no indication that productivity effects of the diffusion of AI are likely to be higher than those associated with the internet boom around the year 2000. While considerable uncertainty around future effects remains, a recent review and calibration exercise by Acemoglu, D. (2024. The Simple Macroeconomics of AI. Cambridge, MA: National Bureau of Economic Research, Working Paper 32487) suggests that the effects might be a lot lower.
Published Version
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
