Technology usually creates jobs for young, skilled workers. Will AI do the same?

Source Domain: news.mit.edu

Here are four key points from the study led by MIT labor economist David Autor regarding the evolution of new work and its impact on employment:

New Work Predominates Among Young and Educated Workers: The study reveals that new forms of work are typically more likely to be undertaken by younger individuals (under 30) and college graduates rather than high school graduates or older workers. This trend is more pronounced in urban areas.
Technological and Demand-Driven Innovation: The research indicates that a significant portion of new, technology-driven jobs emerged due to government-backed initiatives, especially during the post-World War II era. This suggests that innovation can be demand-driven, influenced by large-scale activities and investments.
Wage Premium in New Work Fades Over Time: While new occupations tend to offer better pay compared to traditional forms of work, this wage premium diminishes as the specialized knowledge required becomes more widely accessible and can be automated.
Future of AI and Job Creation Undetermined: The study reflects on the potential impact of AI on the job market, emphasizing that the role of AI in creating new or eroding jobs depends on how it is implemented and integrated into various sectors, particularly in healthcare, where public funding is prevalent.

For more detailed insights, you can refer to the full study titled “What Makes New Work Different from More Work?” published in the Annual Review of Economics.