Summary
The United States is seeing a big increase in investments in artificial intelligence (AI) and related infrastructure. However, most of the economic benefits from these investments are not going to the workers, whose job opportunities and wage growth are lagging. This trend reflects a long-term shift where more income is going to business profits rather than workers' wages.
Key Facts
- The U.S. is experiencing a surge in investments from artificial intelligence (AI).
- Workers are not seeing significant economic benefits from this AI investment boom.
- Since the 1980s, the share of national income going to workers has decreased.
- The share of income going to corporate profits has increased from 7.2% in 1980 to 11.7%.
- If workers were to regain their 1980 share of income, it would mean an extra $2 trillion annually.
- Changes in technology, like robotics, have reduced the need for manual labor.
- Decline in union power and globalization are other factors affecting wage growth.
- The AI boom may further increase the divide in income distribution between workers and businesses.
