AI's economic impact is uncertain; proactive adaptation needed

The impact of artificial intelligence (AI) on the economy is still unclear, according to OpenAI's chief economist, Ronnie Chatterji. As AI continues to develop rapidly, it is changing productivity and job functions. Companies and workers must adapt quickly to take advantage of AI opportunities and address potential challenges. Predictions on AI’s productivity impact vary widely, ranging from very small increases to double-digit growth. This uncertainty makes it difficult to prepare effectively for AI’s economic effects. Chatterji emphasized that understanding AI is still in its early stages, making it hard to find a balance between being overly cautious and too relaxed about potential changes. AI is advancing faster than any previous technology, as evidenced by ChatGPT gaining 100 million users in just two months. While companies report significant time savings, Chatterji warns that it's important to consider how that saved time will be used. He believes that AI can lead to innovative ways of working rather than just automating current tasks. In the context of India's strong IT sector, Chatterji dismissed fears of widespread job loss due to automation. Instead, he highlighted the importance of adapting to changes and preparing the workforce. He noted that tasks like research and documentation are increasingly being handled by AI, allowing professionals to focus more on building relationships with clients. Chatterji believes that India is well-positioned to benefit from the AI transformation. With a large number of STEM graduates, a young workforce, and a vibrant startup scene, he sees potential for success in the age of intelligence. However, he stressed that complacency could be a significant risk as AI continues to evolve.