Macroscope | Can AI deliver the economic goods and high returns? Don’t count on it
The dash towards AI might become a rout as the public rebels against the environmental costs while investors worry about the returns
Adoption of AI in the Asia-Pacific is widespread and the advent of the technology could boost the regional economy, Asian Development Bank Institute (ADBI) dean Bambang Brodjonegoro noted during a recent conference in Tokyo. However, he also warned that major headwinds ranging from job losses and increased income inequality to the digital divide would need to be addressed.
The Tokyo forum, organised by the ADBI and the World Bank Group, also provided some revealing perspectives from World Bank chief economist Indermit Gill, Asian Development Bank chief economist Albert Park and Tshilidzi Marwala, rector of the United Nations University Institute for the Advanced Study of Sustainability.
On paper at least, the Asia-Pacific is well placed to take advantage of AI-enabled transformation and tech-driven industrial development. The region has a broad skills base and produces three-quarters of the world’s STEM graduates. On the other hand, a quarter of the region remains unconnected to the internet.