Artificial Intelligence, Growth and Employment: The Role of Policy

Philippe Aghion, Céline Antonin and Simon Bunel

Economie et Statistique / Economics and Statistics, 2019, issue 510-511-512, 149-164

Abstract: [eng] In this survey paper, we argue that the effects of artificial intelligence (AI) and automation on growth and employment depend to a large extent on institutions and policies. We develop a two-fold analysis. In a first section, we survey the most recent literature to show that AI can spur growth by replacing labor by capital, both in the production of goods and services and in the production of ideas. Yet, we argue that AI may inhibit growth if combined with inappropriate competition policy. In a second section, we discuss the effect of robotization on employment in France over the 1994-2014 period. Based on our empirical analysis on French data, we first show that robotization reduces aggregate employment at the employment zone level, and second that non-educated workers are more negatively affected by robotization than educated workers. This finding suggests that inappropriate labor market and education policies reduce the positive impact that AI and automation could have on employment.

JEL-codes: J24 O3 O4 (search for similar items in EconPapers)
Date: 2019
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Citations: View citations in EconPapers (43)

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Related works:
Working Paper: Artificial Intelligence, Growth and Employment: The Role of Policy (2019)
Working Paper: Artificial Intelligence, Growth and Employment: The Role of Policy (2019)
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Persistent link: https://EconPapers.repec.org/RePEc:nse:ecosta:ecostat_2019_510t_11

DOI: 10.24187/ecostat.2019.510t.1994

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