The rise of artificial intelligence can also deepen inequalities, according to a study.
The rise of artificial intelligence (AI) could affect nearly 40% of jobs worldwide, with high-income economies more vulnerable than emerging markets and low-income countries, the IMF warned in a new report.
In a blog post over the weekend, IMF chief Kristalina Georgieva called on governments to address the “disturbing trend” and take proactive steps “to prevent technology from fueling social tensions”.
“We are on the brink of a technological revolution that could accelerate productivity, boost global growth and raise incomes worldwide. But it could also create jobs and deepen inequality,” Georgieva said.
The report pointed out that while automation and IT have historically affected more routine tasks, artificial intelligence can also affect jobs that require highly skilled labor. As a result, developed economies face greater risks from artificial intelligence – but also more opportunities to take advantage of it – than emerging and developing economies, the IMF says.
The report showed that about 60% of jobs in developed economies could be affected by artificial intelligence. At the same time, roughly half of the jobs at risk could benefit from the integration of AI, thus increasing productivity, the IMF wrote. For the other half, AI applications can “perform key tasks currently performed by humans,” which could dampen demand for labor, leading to lower wages and less hiring. In the most extreme cases, some of these jobs may disappear completely, warned Georgieva.
In contrast, exposure to AI in emerging markets and low-income countries is expected to be 40% and 26%, respectively. “These findings suggest that emerging and developing economies face less immediate disruption from AI. However, many of these countries lack the infrastructure or skilled workforce to take advantage of AI, increasing the risk that over time the technology will may exacerbate inequalities between nations,” concluded the IMF.