While speaking to Harvard economic students, Fed Chair Jerome Powell got into a frank discussion about AI. Yes, AI and automation will replace some jobs. But, at the same time, AI can make people more productive.
Powell said he uses AI. And it makes him “much more productive.” So he advises students to “master these new technologies and it will put them in good stead.”
The expected job losses caused by adoption of AI is a thorny topic. Is the United States government doing enough to anticipate these job losses? Are employers?
Various ideas have been proposed (e.g., universal basic income, so-called robot taxes and human worker tax credits).
In some of my writings, I have proposed that the copyright system can incentivize people to rely on human creators using AI: if human creators make an original selection and arrangement of elements through prompt engineering, their works are eligible for copyright. But, if the process is entirely automated, no copyright.
But this is just scratching the surface. I think the U.S. government and major employers need to be thinking more deeply on how people will find jobs in the future. Laying off employees is the easy way out. But that approach is unsustainable for an economy. No jobs, no taxes (from income that does not exist).
For now, Powell’s advice is on point. People can try to prepare for the shift in the job market by “mastering” AI. Become adept in AI to stay useful in a world being transformed by AI.
I’ll have more to say on this worrisome topic.