AI Could Help Governments Cut Debt Through Productivity Gains
AI could offer governments more than productivity gains for individuals and businesses. If it significantly boosts economic growth, it could also help developed-market governments reduce budget deficits and lower debt burdens.
The potential impact remains uncertain. However, higher productivity could increase corporate profits and real wages, potentially lifting tax revenues and improving public finances.
AI Productivity Could Boost Tax Revenues
Chicago Federal Reserve Board economist Ezra Karger and his colleagues recently surveyed economists, superforecasters, AI experts and the general public about AI’s potential effect on US economic growth.
The median estimate across all…