Economics

Mar 26, 2026 Michael R. Strain

As AI advances, societies must consider how to strike a balance between the disruption caused by rapid productivity growth and its many benefits, including rising incomes and living standards. Fortunately, most advanced economies are well equipped to absorb the shocks associated with breakthrough technologies.

WASHINGTON, DC – Since OpenAI’s ChatGPT burst onto the scene in late 2022, economists and commentators have been discussing generative AI’s possible effects on productivity. But from a cultural and political perspective, it is useful to ask a normative question: How much productivity growth should society desire?