The economic impact of artificial intelligence

In recent months, the popularity of “artificial intelligence” programs has had an exponential increase, with ChatGPT probably being the one that has had the greatest focus of attention. This tool specializes in language processing features ranging from translating text to writing completely new and original content on any topic. However, according to the consulting firm McKinsey, the development of artificial intelligence is reaching practically all industries, estimating that around 50% of companies globally have tried to apply this type of technology during 2023.

The uses of artificial intelligence range from creative activities that were previously seen as exclusive to human beings, such as the creation of works of art, songwriting, fashion design or development of architectural plans, advanced database management tasks, taking decisions and even programming.

The foregoing leads one to wonder what the future consequences of this type of technology could be in the labor markets. According to Goldman Sachs, one of the largest financial companies globally, nearly 300 million jobs could be affected by the automation trend, where artificial intelligence software could partially or completely supplant the functions performed by computers. humans. The occupations that could be most affected are those related to legal services, telemarketing, and writing-related activities.

Despite the fact that these figures may sound daunting, it must be remembered that these types of changes have happened several times throughout history and, although some jobs have disappeared, new professions have also emerged. As a reference, currently around 60% of people work in occupations that did not exist in 1940, that is, a large part of the jobs that exist today have arisen from technological advances.

On the other hand, we must not lose sight of the enormous growth advantages that the development of technology has brought to the economy throughout history. According to some estimates, Artificial Intelligence has the potential to generate economic growth equivalent to 7 trillion dollars, which is equivalent to an annual growth of 1.5% of global GDP in a period of 10 years.

In this sense, it will be important that the generations that are about to enter or are already in the labor market are trained and kept updated in programming languages, as well as software that has to do with their respective professions. At the end of the day, these types of innovations must be seen as tools that can represent competitive advantages to be able to execute functions more quickly and efficiently, and not as future threats.

*The author is Executive Director of BBVA Asset Management

Contact: carloseugenio.llamas@bbva.com