SHAPING THE FUTURE ARTIFICIAL INTELLIGENCE ECONOMY FOR GLOBAL GROWTH AND INNOVATION

Abstract

The article deals with the rapid integration of AI into global businesses and underscores the necessity for policymakers to act swiftly. The problems discussed include varying levels of readiness among countries to adopt AI, as measured by the IMF's newly developed AI Preparedness Index. This index analyzes aspects such as digital infrastructure, human capital and labor market policies, innovation, and regulation and ethics. The main focus is on how wealthier economies like Singapore, the U.S., and Denmark lead in AI readiness, while low-income countries lag behind. The article emphasizes the need for advanced economies to balance AI innovation with robust regulations and for emerging markets to invest in digital infrastructure and workforce development.