Without homework, artificial intelligence will increase inequality – 01/19/2024 – Deborah Bizarria

The rapid advancement of artificial intelligence in the world, while exciting about new possibilities, is worrying about the replacement of human labor.

The most recent IMF report highlights that the exposure of jobs to AI is significant, with around 41% of Brazilian workers in occupations with high exposure to technology.

In other words, a large portion of the population performs activities that will most likely be replaced, at least partially, by AIs as the capabilities of robots under development continue to increase.

The data also indicates that there is a duality in the impact of this technological transformation: the most vulnerable are those who can make the greatest gains by being able to adapt. For example, women and highly educated workers in Brazil are consistently identified as being more exposed to AI.

With a strong presence in the service sector, women face greater exposure, while highly educated workers, often engaged in cognitively intensive occupations, are also among the most exposed. For those who are able to use the tools to help their own work, the report points to a significant increase in salaries.

In addition to income issues, AI has the potential to reshape the distribution of wealth and income in Brazil. AI-driven productivity gains can increase wage income for a wide range of workers, contributing to an increase in total income.

However, the possibility of an intensification of income inequality is also a risk, especially for high-income earners. As indicated by model simulations that suggest a disproportionate increase in the earnings of these workers, while those who prefer to remain in or enter jobs less exposed to technology will have lower salaries.

This assessment takes place in a context in which Brazilian education is unable to deliver good results. In the latest Pisa results, only 1% of students achieved ideal grades in mathematics, contrasting with the OECD average of 9%.

These numbers highlight the country’s disparity in relation to international standards. Of the Brazilian participants, 73% were below the minimum proficiency level, indicating a significant gap in the application of mathematical concepts to solve everyday problems. If our young people have this difficulty with basic concepts, how can they use AI productively for their careers?

Brazil’s stage of economic development directly influences its preparation to face the challenges and take advantage of AI opportunities. Although the country is exposed to technology, its inadequate infrastructure, lack of specialized skills and absence of institutional structures can put it at risk of a competitive disadvantage relative to more advanced economies.

In the Brazilian context, proactive policies are essential to guarantee social cohesion during this technological transition. Expected long-term productivity gains must be balanced with measures to mitigate job displacement and adjustments in income distribution.

Training workers for the demands of the new technological era is crucial, and inclusive and ethical policies are needed to ensure that the benefits of AI are shared equitably. Brazil’s ability to embrace the potential benefits of artificial intelligence will therefore depend on strategic investments in digital infrastructure and human capital.

LINK PRESENT: Did you like this text? Subscribers can access five free accesses from any link per day. Just click the blue F below.