IDEAS home Printed from https://ideas.repec.org/p/grz/wpaper/2024-06.html
   My bibliography  Save this paper

Public Policy Responses to AI

Author

Listed:
  • Andreas Schaefer

    (University of Bath)

  • Maik T. Schneider

    (University of Graz)

Abstract

With the 4th Industrial Revolution ahead there is huge uncertainty about the likely labour market impacts ranging from massive layoffs as a response to Automation and AI to the view that overall more jobs will be created than lost. Whatever the outcome in the end, there will be major structural change with substantial implications for individual labour income risk. We argue that precautionary savings are an ineffective protection against labour market risk arising from major technological shifts and discuss four policy instruments, 1) a private insurance scheme, 2) a universal basic income, 3) a robot tax, and 4) a governmental insurance scheme. Further, we examine whether these policy instruments are suitable to achieve high and inclusive growth.

Suggested Citation

  • Andreas Schaefer & Maik T. Schneider, 2024. "Public Policy Responses to AI," Graz Economics Papers 2024-06, University of Graz, Department of Economics.
    • Handle: RePEc:grz:wpaper:2024-06
    as

    Download full text from publisher

    File URL: https://unipub.uni-graz.at/obvugrveroeff/download/pdf/9524536?originalFilename=true
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Artificial Intelligence; Economic Growth; Endogenous Technological Change; Industrial Revolution; Robot Tax; Universal Basic Income.;
    All these keywords.

    JEL classification:

    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:grz:wpaper:2024-06. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Stefan Borsky (email available below). General contact details of provider: https://edirc.repec.org/data/vgrazat.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.