How could generative AI transform our economy? Part 1: Economic theories and emerging evidence – NZIER Insight 119

New Zealand Institute of Economic Research (Inc)
Media Release, 5 December 2024

Immediate release

With the rapid spread of ChatGPT over the past two years, generative artificial intelligence (AI) is taking the world by storm.

In our latest Insight, we discuss  economic theories and emerging evidence for this powerful new technology. Initial results indicate that generative AI could have major impacts on a scale similar to steam power, electricity, and computing. However, the impacts are highly uncertain, and they are likely to unfold gradually over several years or decades.

“Studies show that using generative AI can make people significantly more productive at certain tasks,” said Adrian Katz, Senior Economist at NZIER. “It also has the potential to speed up scientific progress.” 

This paper is the first in a two-part series titled “How could generative AI transform our economy?” The next paper will consider how generative AI could develop in the future and what New Zealand can do to prepare.
 
For further information, please contact:
Adrian Katz
Senior Economist
027 265 1955
adrian.katz@nzier.org.nz