Comment by Michael S. Barr

AI may instead exacerbate inequality, eliminating some lower- and middle-income jobs while boosting the income and wealth of higher-income individuals. Since we don't know which of these futures will come about, it is useful to use potential scenario...

My base case foresees labor market disruptions as relatively short term, even if painful. Over the long term, the labor market would adjust in ways that create new jobs and augment the productivity of existing jobs, boosting real wages.

Society would have to rethink the social safety net to ensure that the gains from unprecedented economic growth are shared rather than concentrated among a small group of capital holders and AI superstars.