How will artificial intelligence affect the global economy?

While the rapidly developing artificial intelligence technologies occupy an important place in our lives, the opportunities and dangers of artificial intelligence are analyzed with the effect of ChatGPT, a great language model developed by OpenAI.

While there are many different views on the functionality of artificial intelligence and the risks it can present, many economists and organizations also assess the positive and negative effects that artificial intelligence can have on the global economy.

While visions of the global economic effects of artificial intelligence have focused on the changes that may occur in the labor market, the possible increase in income inequality is also on the agenda. On the other hand, artificial intelligence is believed to have positive effects on the global Gross Domestic Product (GDP).

CHATGPT CONTRIBUTES TO WORLD GDP

As questions continue about the economic effects of artificial intelligence, economists at the US bank Goldman Sachs and the London-based international consultancy PricewaterhouseCoopers (PwC) believe that artificial intelligence will contribute to the global economy.

According to economists at Goldman Sachs, AI could increase GDP by 7% per year in 10 years. According to the results of a PwC study, artificial intelligence is expected to increase global GDP by up to 14% by 2030.

PwC expects AI to contribute $15.7 trillion to the global economy by 2030. According to the report, China will provide the largest economic gain from AI with GDP growth of 26%, followed by North America with a growth of 14.5%.

WILL ARTIFICIAL INTELLIGENCE GET UNEMPLOYMENT?

There is a common opinion that artificial intelligence will cause unemployment in many professions. While the white-collar group is estimated to be hardest hit, Goldman Sachs estimates that a quarter of all work will be done entirely by artificial intelligence.

On the other hand, many workforce experts think that concerns that ChatGPT and other AI technologies will increase unemployment are overblown. Although experts who hold this view think that artificial intelligence is likely to put people out of jobs with revolutionary technological developments, they say that artificial intelligence can improve many existing jobs and encourage the creation of new jobs.

According to the British newspaper Guardian, Lawrence Katz, a labor economist at Harvard, said in his statements to ChatGPT that “artificial intelligence will eliminate many existing jobs, as in all past technologies”, and expressed that he feared the effects of artificial intelligence on income inequality.

RISK OF ARTIFICIAL INTELLIGENCE ON INCOME INEQUALITY

Katz said that if artificial intelligence provides great productivity as expected, the big question is who will share these gains and how.

Noting that if artificial intelligence increases productivity in companies, workers can earn more income even if they get a smaller slice of the pie, Katz said it’s hard for workers to benefit from the gains given the current situation. “Having a stronger voice for workers and their representatives in this process is an important element in adapting to these changes,” Katz said.

Joel Blit, an economist at the University of Waterloo in Ontario, also told CBC News: “I think the job loss is real, but to tell you the truth, it’s not the job loss that worries me the most, it’s the potential impact in inequality.”