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Artificial intelligence and labor market outcomes

Author

Listed:
  • Nick Drydakis

    (Anglia Ruskin University, UK, and IZA, Germany)

Abstract

Artificial intelligence (AI) has streamlined processes, improved workforce allocation, and created new jobs to meet the needs of digitalization and automation. Individuals with AI capital experience greater employment opportunities and higher wages, particularly in high-skilled roles and large firms. Training in AI helps reduce gender-based digital disparities, empowers individuals, and enhances their employability. Policymakers should promote inclusive AI development policies to prevent widening AI-related divides and unemployment, and to ensure equitable opportunities.

Suggested Citation

  • Nick Drydakis, 2025. "Artificial intelligence and labor market outcomes," World of Labour, LISER, pages 514-514, February.
    • Handle: RePEc:iza:izawol:journl:2025:n:514
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    File URL: https://wol.iza.org/articles/artificial-intelligence-and-labor-market-outcomes
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    Citations

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    Cited by:

    1. Bryson, Alex & Kauhanen, Antti & Rouvinen, Petri, 2026. "AI and Worker Well-being: Evidence from a Nationally Representative Study," ETLA Working Papers 137, The Research Institute of the Finnish Economy.
    2. Drydakis, Nick, 2025. "The Formation of AI Capital in Higher Education: Enhancing Students’ Academic Performance and Employment Rates," IZA Discussion Papers 18138, IZA Network @ LISER.
    3. Satyadhar Joshi, 2025. "Introduction to Generative AI: Its Impact on Jobs, Education, Work and Policy Making," Working Papers hal-05010549, HAL.
    4. Drydakis, Nick, 2025. "AI Business Applications Training and Business Outcomes: An Inclusive Intervention for Underrepresented Entrepreneurs," IZA Discussion Papers 18143, IZA Network @ LISER.
    5. Drydakis, Nick, 2025. "The Formation of AI Capital in Higher Education: Enhancing Students' Academic Performance and Employment Rates," GLO Discussion Paper Series 1668, Global Labor Organization (GLO).
    6. Drydakis, Nick, 2025. "AI Business Applications Training and Business Outcomes: An Inclusive Intervention for Underrepresented Entrepreneurs," GLO Discussion Paper Series 1670, Global Labor Organization (GLO).

    More about this item

    Keywords

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    JEL classification:

    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution; Aggregate Human Capital; Aggregate Labor Productivity
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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