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Nobel laureate: AI cannot replicate the era of rapid economic growth

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Golden Finance reports that on July 7, Christopher Pissarides, the 2010 Nobel laureate in economics, warned that artificial intelligence will not bring Western economies back to an era of high productivity growth—an era that may never return. Pissarides stated that up to 40% of jobs in the United States and the United Kingdom will be largely unaffected by AI, citing fields such as nursing and hospitality. Tech companies and governments are pinning their hopes on AI to revitalize growth levels that have slowed significantly in recent decades. The weak performance of Western economies, especially in Europe, has made policy trade-offs more difficult. However, Pissarides said there is currently little sign that AI can boost productivity, and he questioned claims by Nvidia CEO Jensen Huang and OpenAI founder Sam Altman that the technology will have a profound impact on employment. While the technology may bring some productivity gains, "I have doubts about whether it will recreate the computer boom of the 1980s and 1990s," Pissarides said.
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