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The article discusses the ongoing debate about the impact of technological changes versus globalization on the U.S. job market. It highlights how skill-biased technological changes have contributed to job polarization, particularly affecting middle-class workers. The narrative has shifted over time, with recent focus on the 'China Shock' and its socio-economic consequences for American workers.
As generative artificial intelligence emerges, it poses new challenges for high-skill jobs, previously thought to be secure. The article raises concerns about the potential for AI to disrupt white-collar employment, similar to the effects of globalization on blue-collar jobs. Policymakers must reconsider educational pathways and the skills needed in an AI-driven economy.
• Generative AI challenges previous assumptions about job security in high-skill positions.
• The rise of AI may replicate the job displacement seen in manufacturing due to globalization.
Generative AI refers to algorithms that can create content, posing risks to high-skill jobs.
These changes favor high-skilled workers, leading to job polarization and affecting middle-class employment.
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