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Redistributive Policies for the Times of Transformative AI

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  • Jakub Growiec
  • Klaus Prettner
  • Maciej Szkr'obka

Abstract

After the arrival of transformative artificial intelligence (TAI), broad-based automation is expected to decrease the labor share and increase income and wealth inequality. Although economic growth is likely to accelerate, most of its gains may accrue to a narrow group of individuals and firms. Hence, if unmitigated by redistributive policy, income and wealth inequality may rise to levels unseen in the industrial economy. Using a unifying theoretical framework, we survey the redistributive policies proposed for the era of TAI, such as universal basic income (UBI), universal basic capital (UBC), state-issued compute and robot permits, and taxes on capital, compute, robots, tokens, land, energy, consumption, and wealth. We argue that policies that are able to broadly distribute rents from capital including compute and robots - such as UBC or UBI financed through capital taxes - are most likely to achieve lasting reductions in inequality in a world with human-aligned transformative AI.

Suggested Citation

  • Jakub Growiec & Klaus Prettner & Maciej Szkr'obka, 2026. "Redistributive Policies for the Times of Transformative AI," Papers 2609.14750, arXiv.org.
    • Handle: RePEc:arx:papers:2609.14750
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    File URL: https://arxiv.org/pdf/2609.14750
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