Economics

MIT has been named the No. 1 national university in U.S. News & World Report’s 2027 “Best Colleges Rankings,” writes Chloe Craft for The Boston Globe. MIT is proud to be “part of a strong network of excellent colleges and universities across the nation, dedicated to educating students and pursuing curiosity-driven research. America’s economic strength, scientific leadership, and national security depend on world-class education and research institutions.” 

In The Wall Street Journal’s “Economics Newsletter,” reporter Greg Ip highlights a study by Prof. David Autor that found that AI did not significantly improve the performance of the 133 patent lawyers who participated. “Among junior lawyers, the performance of some got better, others got worse, and on average they were the same. Among senior lawyers, the lowest performers improved, the best didn’t,” writes Ip. “The conclusion: Lawyers don’t acquire durable new skills with AI.” 

A new paper co-authored by Prof. Anna Stansbury examines how socioeconomic differences can impact first-generation college students after graduation, writes Noam Scheiber for The New York Times. Stansbury and her colleagues found that having a parent with a graduate degree reflected a “generalized socioeconomic advantage.” Growing up affluent often “helps you learn how to read between the lines in certain situations, because you’ve been in similar kinds of situations,” Stansbury explains. 

Prof. Kristin Forbes speaks to Associated Press reporter Christopher Rugaber about the continued impact of the Iran war on oil and gas prices in the U.S.. “I don't see any end to the war in Iran right now,” says Forbes. “Given what everyone has been through in the last few years of high inflation, consumers are more sensitive, companies are more sensitive, they raise prices faster ... The risks are much more on more persistent inflation than it falling quickly.”  

In his latest book, “Disposable Workers: The Transformation of Employment,” Prof. Emeritus Paul Osterman finds that 35% of the U.S. workforce is made up of disposable workers hired with the “implicit understanding that they won’t be around for long,” writes Fortune’s Nick Lichtenberg. Employers “do not invest in the great bulk of their workforce” in the way that they used to, says Osterman.  

Prof. Daron Acemoglu discusses the impact of AI models on jobs in an article by CNBC’s Trevor Laurence Jockims. “If AI continues to be developed as an automation technology, there will be more impacts. Right now, we don’t have many easy-to-use applications relevant for a large number of tasks/industries,” says Acemoglu. “Once these are developed, the labor market effects will be multiplied.”  

MIT researchers are leading a new project documenting what major AI systems say about elections in an effort to understand how the technology influences the democratic process, writes Tiffany Hsu for The New York Times. “AI is becoming part of the way people encounter and make sense of political information, and yet we know relatively little about what that information environment actually looks like, how it differs for different user demographics, political identities and geographies,” says Prof. Chara Podimata, a leader of the project.  

Sloan Senior Lecturer Jonathan Ruane joins Carmel Crimmins, host of Reuters’ “Econ World,” to discuss the future of quantum computing. “By 2035 I would not be surprised if you’re seeing some elements of the economy—whether that be firms within drug research for example, using, for certain applications, quantum computers as part of their overall process,” says Ruane.  

For The Next Big Idea Club, Prof. Paul Osterman outlines the pillars of his new book, “Disposable Workers: The Transformation of Employment.” “The rise of disposable work is allowing companies to gain flexibility and cut costs while shedding responsibility for their workers,” writes Osterman. “We need guardrails to keep that flexibility from coming at the expense of workers and the public.” 

Prof. Gary Gensler joins Bloomberg’s “Sustainability Currents and Votes and Verdicts” to discuss how the United States Securities and Exchange Commission (SEC) can manage investor protection, capital formation and fair, orderly and efficient markets. “I would say [to the SEC], make sure that the US treasury market is functioning really well,” says Gensler. “Move forward with the treasury market reforms that were bipartisan. Keep making sure that the equity market is efficient. Keep making sure that we’re the world’s leading equity market.” 

A study co-authored by Prof. Amy Finkelstein found that seniors are not only living longer, but also living relatively healthier lives for longer periods of time,, writes Forbes’ Howard Gleckman. “As a result, while older adults still need personal care and other supports, they can put off this assistance for years,” notes Gleckman. “Or to put it another way, additional years in old age, even very old age, are on average healthy ones. They do not result in extra years of serious illness and care needs.”  

Prof. Paul Osterman speaks to Fortune’s Nick Lichtenberg about how his new book “Disposable Workers: The Transformation of Employment” explores how a perceived lack of ambition among Gen Z reflects the decreased amount of job security and opportunity available to young workers. “No one has job security anymore, but these folks [disposable workers] are hired with that expectation and are not going to be around for long,” says Osterman.

Prof. David Autor speaks to Financial Times reporter Christian Davies about the increased use of physical AI systems at U.S. manufacturing companies. “[Autor says] that while individual companies might increase headcount as they grow more productive, it is a fallacy to assume this will be replicated across the manufacturing sector as a whole, noting that previous waves of automation in the US have all driven large-scale declines in blue-collar employment,” writes Davies.  

Prof. Anna Stansbury speaks to the Financial Times’ Myles McCormick about a new study that found that chief executives at America’s largest low-wage employers had seen their pay rise 41 percent between 2019 and 2025, while the median worker earned 21 percent more income. “There’s been for several decades a shift in the balance of power from labor to capital in the US,” says Stansbury. “It seems unlikely that what’s happening now...can be used to infer a big secular shift in power beyond the ongoing steady trend that we’ve been seeing for a long time.”  

Prof. Daniela Rus, Director of MIT CSAIL, and Prof. David Autor, department head of Economics, are featured on Time’s “TIME100 AI 2026” list of 100 innovators, leaders, and thinkers reshaping the world through their advances in AI. “Over three decades, [Rus] has conducted pioneering work in robotics, extending the understanding of what form robots can take,” writes Tharin Pillay, while Steven Freiss describes Autor as “one of the nation’s most vocal and prominent economists aiming to ascertain AI’s potential impacts on labor.”