Analysis on the Negative Impact of AI Development on Employment and Its Countermeasures

Abstract

While benefiting society, the technological progress of artificial intelligence (AI) has also brought a rising number of unemployed people and breeded polarization in income distribution by threatening the low-skill and labor-intensive industry. To solve the negative impact of AI, policies about the taxation and subsidy on AI and the income-supporting program can be proposed. However, neither of them will work well to achieve sustainable social development. In the long run, technological progress will not be influenced by government policies, and capital will find its own path to a rapid growth. Income-supporting programs are short-term solutions, being ineffective and not sustainable. Based on the literature collected, the author came up with two practical methods to deal with the negative impact brought by AI to employment: the industrial relocation as a short-term solution and the reframing of the education system as a long-term solution.