Robotics and Artificial Intelligence: A New Economic Order

Various technological advancements have revolutionised how businesses operate and how people live and work. In recent years, significant advancements have occurred regarding industrial robotics and artificial intelligence (AI). The adoption of robotics and AI positively impacts productivity at both firm and national levels through increased precision and cost efficiency. While these technologies have the potential to substantially enhance productivity and to facilitate trade in goods and services, this paper also looks at the research on their impact on workers, wages, and economic welfare. Indeed, the extensive and uneven effects of robotics and AI on different skill sets have become a focus of economic research, which has explored how these technologies may yield outcomes that differ markedly from previous technological advancements. The research shows that adoption of robotics and AI does facilitate trade in goods and services, but their impact on the labour market, employment, and wages depends on the preparedness of both governments and the workforce to embrace cutting-edge technologies, including AI and super AI.