Retracted Article: Artificial Intelligence and Economic Growth: A Theoretical Framework

Lei  Wang; Provash Sarker; Kausar Alam; Shahneoaj  Sumon

doi:10.47743/saeb-2021-0027

Authors

Lei Wang Wuhan University
Provash Sarker Wuhan University
Kausar Alam BRAC University, Dhaka
Shahneoaj Sumon Bangladesh Bank

DOI:

https://doi.org/10.47743/saeb-2021-0027

Keywords:

Artificial intelligence, Automation, Economic growth, Industry 4.0.

Abstract

The Editor in Chief, after consulting members of the editorial board, has retracted the article:

Wang, L., Sarker, P., Alam, K., Sumon, S. (2021). Artificial Intelligence and Economic Growth: A Theoretical Framework. Scientific Annals of Economics and Business, 68(4), 421–443. https://doi.org/10.47743/saeb-2021-0027

from publication because it contains material that overlaps in the mathematical model with the following article:

Huang, X., Hu, Y., Dong, Z. (2019). The macroeconomic consequences of artificial intelligence: a theoretical framework. Economics Discussion Papers, 2019-48. Kiel Institute for the World Economy. www.economics-ejournal.org/economics/discussionpapers/2019-48.

The corresponding author has requested that this paper is retracted from publication.

We received, peer-reviewed, accepted, and published this article in good faith based on the warranties of the corresponding author with respect to originality, publishing ethics and integrity.

The retracted article will remain online to maintain the scholarly record, but it will be digitally watermarked on each page as “Retracted”.

Author Biographies

Lei Wang, Wuhan University

Professor and Director, Institute for the development of Central China, School of Economics and Manaement

Provash Sarker, Wuhan University

Institute for the Development of Central China, School of Economics and Management

Kausar Alam, BRAC University, Dhaka

BRAC Business School, Assistant Professor

Shahneoaj Sumon, Bangladesh Bank

Joint Director, Bangladesh Bank

References

Acemoglu, D., & Restrepo, P. (2018). The Race between Machine and Man: Implications of Technology for Growth, Factor Shares and Employment. The American Economic Review, 108(6), 1488-1542. http://dx.doi.org/10.1257/aer.20160696

Acemoglu, D., & Restrepo, P. (2019a). Artificial Intelligence, Automation, and Work The Economics of Artificial Intelligence: An Agenda (pp. 197-236): The University of Chicago Press.

Acemoglu, D., & Restrepo, P. (2019b). Automation and New Tasks: How Technology Displaces and Reinstates Labor. The Journal of Economic Perspectives, 33(2), 3-30. http://dx.doi.org/10.1257/jep.33.2.3

Acemoglu, D., & Restrepo, P. (2020). Robots and Jobs: Evidence from US Labor Markets. Journal of Political Economy, 128(6), 2188-2244. http://dx.doi.org/10.1086/705716

Aghion, P., & Benjamin, F. (2019). Artificial Intelligence and Economic Growth The Economics of Artificial Intelligence: An Agenda (pp. 237-282). http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Aghion, P., & Howitt, P. (1998). Endogenous growth theory: The MIT Press.

Aghion, P., Jones, B., & Jones, C. (2017). Artificial Intelligence and Economic Growth. In A. Agrawal, J. Gans, & A. Goldfarb (Eds.), The Economics of Artificial Intelligence: An Agenda. Chicago: The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Agrawal, A., Gans, J., & Goldfarb, A. (2018). Prediction Machines: The simple economics of artificial intelligence: Harvard Business Review Press.

Agrawal, A., Gans, J., & Goldfarb, A. (2019a). Economic Policy for Artificial Intelligence. Innovation Policy and the Economy, 19, 139-159. http://dx.doi.org/10.1086/699935

Agrawal, A., Gans, J., & Goldfarb, A. (2019b). The Economics of Artificial Intelligence: An Agenda: The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Arntz, M., Gregory, T., & Zierahn, U. (2017). Revisiting the risk of automation. Economics Letters, 159, 157-160. http://dx.doi.org/10.1016/j.econlet.2017.07.001

Autor, D. (2015). Why Are There Still So Many Jobs? The History and Future of Workplace Automation. The Journal of Economic Perspectives, 29(3), 3-30. http://dx.doi.org/10.1257/jep.29.3.3

Autor, D., & Dorn, D. (2013). The growth of low-skill service jobs and the polarization of the US labor market. The American Economic Review, 100(3), 1553-1597. http://dx.doi.org/10.1257/aer.103.5.1553

Autor, D., & Salomons, A. (2018). Automation Labor-Displacing: Productivity Growth, Employment, and the Labor Share. Brookings Papers on Economic Activity, 2018, 1-87. http://dx.doi.org/10.1353/eca.2018.0000

Baumol, W. J. (1967). Macroeconomics of Unbalanced Growth: The Anatomy of Urban Crisis. The American Economic Review, 57(3), 415-426.

Baumol, W. J., Blackman, S. A. B., & Wolff, E. N. (1985). Unbalanced Growth Revisited: Asymptotic Stagnancy and New Evidence. The American Economic Review, 75(4), 806-817.

Baumol, W. J., & Bowen, W. G. (1965). On the Performing Arts: The Anatomy of Their Economic Problems. The American Economic Review, 55(1/2), 495-502.

Berg, A., Buffie, E. F., & Zanna, L. F. (2018). Should we fear the robot revolution? (The correct answer is yes). Journal of Monetary Economics, 97, 117-148. http://dx.doi.org/10.1016/j.jmoneco.2018.05.014

Bloom, N., Sadun, R., & Reenen, J. V. (2012). Americans do IT Better: US Multinationals and the Productivity Miracle. The American Economic Review, 102(1), 167-201. http://dx.doi.org/10.1257/aer.102.1.167

Brynjolfsson, E., & McFee, A. (2017). The Business of Artificial Intelligence. Harvard Business Review, ooo, 1-5.

Brynjolfsson, E., Rock, D., & Syverson, C. (2017). Artificial Intelligence and the Modern Productivity Paradox: A Clash of Expectations and Statistics The Economics of Artificial Intelligence: An Agenda (pp. 23-75): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Camerer, C. F. (2019). Artificial Intelligence and Behavioral Economics The Economics of Artificial Intelligence: An Agenda (pp. 587-608): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Chiacchio, F., Petropoulos, G., & Pichler, D. (2018). The impact of industrial robots on EU employment and wages: A local labor market approach(2), 1-36. Retrieved from https://www.bruegel.org/2018/04/the-impact-of-industrial-robots-on-eu-employment-and-wages-a-local-labour-market-approach/

Cockburn, I., Henderson, R., & Stern, S. (2019). The Impact of Artificial Intelligence on Innovation: An Exploratory Analysis The Economics of Artificial Intelligence: An Agenda (pp. 115-148): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Crafts, N., & Mills, T. (2017). Predicting Medium-Term TFP Growth in the United States: Econometrics vs. Techno-Optimism. National Institute Economic Review, 242(1), 60-67. http://dx.doi.org/10.1177/002795011724200115

Dauth, W. S. F., Sudekum, J., & Woessner, N. (2017). German robots-the impact of industrial robots on workers: Center for Economic Policy Research.

DeCanio, S. J. (2016). Robots and humans-complements or substitutes? Journal of Macroeconomics, 49, 280-291. http://dx.doi.org/10.1016/j.jmacro.2016.08.003

Denning, P. J., & Lewis, T. G. (2017). Exponential laws of computing growth. Communications of the ACM, 60, 54-65. http://dx.doi.org/10.1145/2976758

European Commission, E. C. (2016). Analysis of the impact of robotic systems on employment in the European Union Retrieved from https://op.europa.eu/ro/publication-detail/-/publication/fa9a1167-fcd6-4ed8-9491-ce451fc22e9c

European Commission, E. C. (2019). Artificial Intelligence: A European Perspective: European Commission.

Feijoo, C., Kwon, Y., Bauer, J. M., Bohlin, E., Howell, B., Jain, R., . . . Xia, J. (2020). Harnessing artificial intelligence (AI) to increase wellbeing for all: The case for a new technology diplomacy. Telecommunications Policy, 44(6), 101988. http://dx.doi.org/10.1016/j.telpol.2020.101988

Frey, C. B., Osborne, M. A., & Holmes, C. (2016). Technology at work v2.0: The future is not what it used to be, Oxford Martin Programme on Technology and Employment: Oxford Martin School and Citi GPS.

Fujii, H., & Managi, S. (2018). Trends and priority shifts in artificial intelligence technology invention: A global patent analysis. Economic Analysis and Policy, 58, 60-69. http://dx.doi.org/10.1016/j.eap.2017.12.006

Gal, P., & Witheridge, W. (2019). Productivity and Innovation at the Industry Level: What Role for Global Value Chain Integration: OECD.

Goldfarb, A., & Trefler, D. (2017). AI and International Trade The Economics of Artificial Intelligence: An Agenda (pp. 463-492): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Goolsbee, A. (2019). Public Policy in an AI Economy The Economics of Artificial Intelligence: An Agenda (pp. 309-316): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Gordon, R. (2018). Why Has Economic Growth Slowed When Innovation Appears to be Accelerating? : National Bureau for Economic Research. http://dx.doi.org/10.3386/w24554

Grawtz, G., & Micheals, G. (2018). Robots at Work. The Review of Economics and Statistics, 100(5), 753-768. http://dx.doi.org/10.1162/rest_a_00754

Growiec, J. (2019). The Hardware–Software Model: A New Conceptual Framework of Production, R&D, and Growth with AI2019(42), 1-37. Retrieved from https://ideas.repec.org/p/sgh/kaewps/2019042.html

Hamori, S., & Kume, T. (2018). Artificial Intelligence and Economic Growth. Advances in Decision Science, 22(1), 256-278.

Hanson, R. (2001). Economic Growth Given Machine Intelligence. Journal of Artificial Intelligence Research, 1-13.

Hemous, D., & Olsen, M. (2016). The Rise of the Machines: Automation, Horizontal Innovation and Income Inequality. SSRN, 1-40. http://dx.doi.org/10.2139/ssrn.2328774

Horowitz, M. C. (2018). Artificial Intelligence, International competition and the Balance of Power. Texas National Security Review, 1(3), 37-57.

Jorgenson, D. W., Ho, M. S., & Stiroh, K. J. (2008). A Retrospective Look at the U.S. Productivity Growth Resurgence. The Journal of Economic Perspectives, 22(1), 3-24. http://dx.doi.org/10.1257/jep.22.1.3

Kavuri, A., & McKibbin, W. (2017). Technology and leisure: Macroeconomic Implications: Centre for Applied Macroeconomic Analysis. http://dx.doi.org/10.2139/ssrn.3005036

Keisnejr, A., Raffo, J., & Wunsch-Vincent, S. (2015). Breakthrough technologies - Robotics, innovation and intellectual property: World Intellectual Property Organization.

Lankisch, C., Prettner, K., & Prskawetz, A. (2019). How can robots affect wage inequality? Economic Modelling, 81, 161-169. http://dx.doi.org/10.1016/j.econmod.2018.12.015

Lu, C. H. (2021). The impact of artificial intelligence on economic growth and welfare. Journal of Macroeconomics, 69. http://dx.doi.org/10.1016/j.jmacro.2021.103342

Makridakis, S. (2017). The forthcoming Artificial Intelligence (AI) revolution: Its impact on society and firms. Futures, 90, 46-60. http://dx.doi.org/10.1016/j.futures.2017.03.006

Milgrom, P. R., & Tadelis, S. (2019). How Artificial Intelligence and Machine Learning Can Impact Market Design The Economics of Artificial Intelligence: An Agenda (pp. 567-585): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Mokyr, J. (1990). The Lever of Riches: Technological Creativity and Economic Progress: Oxford University Press.

Muller, V. C. (2016). Editorial: Risks of artificial intelligence Risk of general intelligence (pp. 1-8): CRC Press - Chapman & Hall.

Oliner, S. D., Sichel, D. E., & Stiroh, K. J. (2007). Explaining a Productive Decade. Brookings Papers on Economic Activity, 2007(1), 81-137. http://dx.doi.org/10.1353/eca.2007.0014

Peretto, P. F., & Seater, J. J. (2013). Factor-eliminating technical change. Journal of Monetary Economics, 60(4), 459-473. http://dx.doi.org/10.1016/j.jmoneco.2013.01.005

Prettner, K., & Strulik, H. (2017). The Lost Race Against the Machine: Automation, Education, and Inequality in an R&D-Based Growth Model. Hohenheim Discussion Papers in Business, Economics, and Social Sciences, 08, 1-51. http://dx.doi.org/10.2139/ssrn.3080967

Romer, P. M. (1986). Increasing Returns and Long-Run Growth. Journal of Political Economy, 94(5), 1002-1037. http://dx.doi.org/10.1086/261420

Romer, P. M. (1990). Endogenous Technological Change. Journal of Political Economy, 98(5), S71-S102. http://dx.doi.org/10.1086/261725

Roubini, N. (2015). Rise of the Machines: Downfall of the Economy? . Retrieved from http://www.roubinisedge.com/nouriel-unplugged/rise-of-the-machines-downfall-of-the-economy

Russell, S., Hauert, S., Altman, R., & Veloso, M. (2015). Robotics: Ethics of artificial intelligence. Nature, 521(7553), 415-418. http://dx.doi.org/10.1038/521415a

Russell, S., & Norvig, P. (2016). Artificial Intelligence: A Modern Approach. The Knowledge Engineering Review, 11(1), 78-79. http://dx.doi.org/10.1017/S0269888900007724

Sachs, J. (2017). R&D, Structural Transformation, and the Distribution of Income The Economics of Artificial Intelligence: An Agenda (pp. 329-348): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Sachs, J., Benzell, S., & LaGarda, G. (2015). Robots: Curse or Blessing? A Basic Framework: National Bureau of Economic Research. http://dx.doi.org/10.3386/w21091

Simon, H. A. (1965). The Shape of Automation for Men and Management: Harper and Row.

Stiglitz, J. (2014). Unemployment And Innovation: National Bureau of Economic Research. http://dx.doi.org/10.3386/w20670

Thomas, G., & Naude, W. (2018). Artificial intelligence, jobs, inequality and productivity: Does aggregate demand matter? : Maastricht Economic and Social Research Institute on Innovation and Technology.

Varian, H. (2017). Artificial Intelligence, Economics, and Industrial Organization The Economics of Artificial Intelligence: An Agenda (pp. 399-419): The University of Chicago Press. http://dx.doi.org/10.7208/chicago/9780226613475.001.0001

Wagner, D. S. (2020). The nature of the Artificially Intelligent Firm - An economic investigation into changes that AI brings to the firm. Telecommunications Policy, 44(6). http://dx.doi.org/10.1016/j.telpol.2020.101954

Wright, S. A., & Schultz, A. E. (2018). The rising tide of artificial intelligence and business automation: Developing an ethical framework. Business Horizons, 61(6), 823-832. http://dx.doi.org/10.1016/j.bushor.2018.07.001

Zeira, J. (1998). Workers, Machines, and Economic Growth. The Quarterly Journal of Economics, 113(4), 1091-1117. http://dx.doi.org/10.1162/003355398555847