A recent National Bureau of Economic Research study reveals that despite widespread AI adoption by two-thirds of executives across major economies, nearly 90% report no significant impact on productivity or employment in their firms. This phenomenon parallels the productivity paradox observed by economist Robert Solow in the 1980s during the IT revolution, where anticipated productivity gains from new technology failed to materialize immediately. While firms remain optimistic about AI’s future potential to boost productivity and output, current data suggests its benefits are not yet broadly reflected in economic metrics.
Thousands of CEOs Admit AI Had No Impact on Employment or Productivity—and It Has Economists Resurrecting a Paradox From 40 Years Ago
