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This company adopted AI. Here's what happened to its human workers

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Summary

This article examines a study that found that a company that adopted an AI system to help customer service reps was more productive and had higher customer satisfaction, with new and lower-skilled customer service reps benefiting the most. It also discusses the implications of this study, such as the possibility of reducing inequality by bringing the bottom up, or reducing inequality by bringing the top and middle down. It also explores how AI is different from previous technological change, since it can do "non-routine" tasks without being programmed with specific instructions.

Q&As

What is the main focus of the article?
The main focus of the article is the economic effects of new AI systems and how they could change the shape of income inequality going forward.

What does the use of AI mean for productivity in the near future?
The use of AI could mean increased productivity in the near future.

How did the use of AI affect the performance of the customer service representatives?
The use of AI improved the performance of the customer service representatives, making them 14 percent more productive.

How does AI differ from previous waves of technological change?
AI differs from previous waves of technological change in that it is capable of doing "non-routine" tasks, whereas previous technologies were only able to do "routine" tasks.

What might be the effects of AI on inequality?
The effects of AI on inequality could be either positive or negative. It could reduce inequality by bringing the bottom up, or it could reduce inequality by bringing the top and middle down. It could also increase inequality by making the Big AI companies rich and empowering business owners to replace more and more workers with intelligent machines.

AI Comments

👍 This article provides an insightful and comprehensive look at the potential benefits of AI on productivity, job performance, and income inequality.

👎 This article does not provide any concrete solutions for the potential risks of AI on job loss and wage stagnation.

AI Discussion

Me: It's about how a Fortune 500 company adopted AI and how it impacted their human workers. They found that AI caused a group of workers to become much more productive, but the most interesting finding was that the less experienced, lower-skilled customer service reps benefited the most from using the AI system.

Friend: That's really interesting. It sounds like AI could be a great way for companies to improve their productivity, but it could also have implications for income inequality and job security.

Me: Yes, exactly. The article also talks about how AI could have a different effect on the labor market than previous waves of technological change. It suggests that AI could benefit those who were left behind in the previous technological era, but it could also reduce the premium on being experienced, smart, or knowledgeable. It's still too early to tell what the exact implications of AI will be, but I think it's definitely something that we need to keep an eye on.

Action items

Research the implications of AI on the labor market and its potential to reduce inequality.
Explore the potential of AI to de-skill certain occupations and lower the wage premium for experienced and skilled workers.
Follow the work of MIT economist David Autor to stay up to date on the latest research on the effects of AI on the labor market.

Technical terms

ChatGPT: ChatGPT is an example of what computer scientists call "generative AI" and also a "Large Language Model," systems that have crunched a ton of data — especially text — and learned word patterns that enable them to do things like answer questions and write instructions.
AI: Artificial Intelligence (AI) is a type of computer technology that is designed to simulate human intelligence and behavior. AI systems are able to learn from their environment and make decisions based on the data they receive.
Generative AI: Generative AI is a type of artificial intelligence that is able to generate new data from existing data. It is used to create new content, such as text, images, and videos.
Large Language Model: A large language model is a type of artificial intelligence system that is trained on a large corpus of text data. It is used to generate new text or to answer questions.
Microsoft Word: Microsoft Word is a word processing program developed by Microsoft. It is used to create documents, such as letters, reports, and presentations.
Microsoft Excel: Microsoft Excel is a spreadsheet program developed by Microsoft. It is used to store, organize, and analyze data.
Google: Google is a search engine and web services company. It provides a variety of services, including web search, email, maps, and cloud storage.
Robots: Robots are machines that are designed to perform tasks that are typically done by humans. They are used in a variety of industries, including manufacturing, healthcare, and agriculture.