Labor and jobs

Prof. Daron Acemoglu speaks with Washington Post reporter Benjamin Guggenheim about his views on advancing AI, and how the technology might impact the labor market over the next decade. “What we saw at the end of ‘25 and the beginning of ‘26 was an acceleration. I think the agentic AI models are certainly much better in terms of a number of tasks, such as coding and other sort of simple cognitive tasks,” says Acemoglu. 

Bloomberg’s Daniel Moss features a paper by Prof. Daron Acemoglu and Prof. David Autor that finds lower birthrates and aging populations between 1970 and 2020 have increased the average Gross Domestic Product (GDP) per worker. “Our findings challenge the prevailing pessimism: lower birth rates, and the aging and shrinking populations they have produced, have raised rather than lowered GDP per worker during these decades,” says Acemoglu. 

In a Bloomberg article, reporter Robb Mandelbaum highlights the AI-Driven Enterprise Institute (AIDE), a new venture by senior lecturer Paul Cheek, which delivers an indexed ranking of how 337 S&P 500 companies are deploying AI and how their implementation and strategy compares to their competitors. “Everybody now needs to be bringing AI literacy into their organization,” Cheek says. “I want my students going in with a very adaptable mindset that best prepares them to apply AI.”

Bloomberg’s Catarina Saraiva reports on a new study by Profs. Daron Acemoglu and David Autor and graduate student Keelan Beirne, which finds that aging and shrinking populations raise, rather than lower, the country’s Gross Domestic Product per worker. “In cross-country data, declining birth rates lead to higher total factor productivity, larger capital stocks, a shift toward exports in high-tech industries, and more labor-saving patenting,” the authors write.

Prof. David Autor discusses the potential future economic impact of AI in a panel discussion moderated by Wall Street Journal reporter George Anders. “Technology automates, it complements and it creates new expertise and new work,” says Autor. “I don’t think we’re headed into a new world where human judgment, moral reasoning, empathy and know-how have no economic value.” 

For the Boston Globe, reporter Aaron Pressman features MIT startup VulcanForms, a 3D printing manufacturer expected to create over 1,000 jobs with a new 1-million-square-foot-plant in Devens, MA. The facility will bring capacity for more customers in medical devices, aerospace and defense, and consumer goods industries. “MIT professor John Hart started the company with grad student Martin Feldmann [‘14] as a way to bring 3D printing techniques using lasers and powdered metals to larger-scale manufacturing jobs,” writes Pressman.

In an opinion piece for The Washington Post, Senior Fellow Brian Deese and writer Anna Pasnau highlight the potential for AI infrastructure such as large data centers to increase jobs for electricians, welders and plumbers. “AI’s potential as a collaborator — ‘extending human judgment, enabling new tasks, and accelerating skill acquisition’ — is as significant as its capacity to automate,” they write.

Prof. Simon Johnson discusses the impact of AI on jobs in an interview with Financial Times (FT) reporters Delphine Strauss and Sam Fleming for the FT’s “Economists Exchange” series. “We are trying very hard at MIT to find ways to incorporate AI into the curriculum but to push harder on the entrepreneurship angle, the creation of new products and services, the development of critical thinking,” says Johnson.

In an interview with Fortune reporter Nick Lichtenberg, Prof. Daron Acemoglu discusses AI’s economic impact and his book, What Happened to Liberal Democracy. Acemoglu estimates AI will deliver roughly 0.55% in total factor productivity gains. “It’s not that you cannot get big productivity gains from automation. It is that it’s not as easy as sometimes it’s presumed,” says Acemoglu. 

Prof. Eric So joins CBS News Tech Watch to discuss a new Pew Research Center study that reveals 40% of U.S. adults perceive AI’s future impact to be negative, as well as his upcoming book, The Collision: What AI Does to Us. “The growth of AI is simply overwhelming for so many people in terms of the pace of progress. But also, a reflection of the fact that for so much of human history, human level intelligence was our most scarce resource, our most defensible advantage,” says So. “It was why we were paid the salaries that we are. And now AI is increasingly commoditizing that. It’s being mass produced in a way that really causes us to question what’s going on to make us valuable in the future.”

In a study examining the impact of AI tools on software development, researchers from MIT and Wharton examined the work of more than 100,000 developers and found a significant gap between what AI tools generate and the amount of software delivered to companies. Writing for Quartz, reporter Anthony Lopopolo notes: “The upshot [of the research] is that AI and human effort aren't substitutes at any stage beyond raw code generation. You can't replace reviewing, testing, and release management with more lines of code.”

For The Atlantic, reporter Rogé Karma describes how Prof. David Autor and Principal Research Scientist Neil Thompson found a basic pattern for technological changes and job displacement based on the evolution of inventory clerk versus accounting clerk positions. “The story is almost never as simple as: We’re in a race with machines and machines will win,” says Autor. “What matters for a given profession is whether technology enhances a worker’s expertise or commodifies that expertise.”

Prof. Daron Acemoglu joins New York Times reporter Bill Wasik for a panel discussion about the impact of AI on job security and its potential to supplement work. “The current view is that somehow [AI] agents are going to do a lot of the work and we just need to supervise them,” says Acemoglu. “I find that very unrealistic. But if it was realistic, it would be a horrible thing.”

Wall Street Journal reporter Gary Rivlin speaks with Prof. Daron Acemoglu about the growing use of AI in the business world. “Whether you’re a CEO, a manager, a journalist, a professor or a construction worker, I see your skills as beyond what AI can perform,” says Acemoglu. 

Financial Times reporter John Burn-Murdoch highlights a new study by Prof. Mert Demirer and colleagues that examines productivity levels among software developers work before and after they adopted AI tools. Burn-Murdoch notes the paper found that “AI delivers big productivity boosts for low-level tasks, but these translate into much smaller gains for final products.”