Digital Economy and Work TransformationLabor market dynamics and wage inequalityEthics and Social Impacts of AI

Shahab Sharfaei, Nopadol Rompho

2026.2.4JOURNAL OF ECONOMIC SURVEYS

DOI: 10.1111/joes.70072

tlooto Summary

The reviewed studies indicate that, contrary to popular belief, AI use does not hurt workers, including the low‐skilled, and the ease of using these technologies makes them complimentary to the low‐skilled workforce, enabling them to reach productivity levels closer to those of high skilled workers.

Abstract

This paper investigates the labor market effects of the two most disruptive technologies of the past decade–industrial robots and artificial intelligence (AI). By reviewing the empirical literature and discussing existing models, we explore how these technologies affect workers based on their level of skills. The reviewed studies indicate that, contrary to popular belief, AI use does not hurt workers, including the low‐skilled. On the contrary, the ease of using these technologies, particularly the more recent iterations of AI and large language models (LLMs), makes them complimentary to the low‐skilled workforce, enabling them to reach productivity levels closer to those of high skilled workers. This implies that the concerns about systemic AI‐driven job displacements are not strongly supported by the recently emergent empirical evidence.

Citation format

SHARFAEI, Shahab; ROMPHO, Nopadol. Automation as an equalizer: How easy‐to‐use technologies narrow skill gaps between low‐ and high‐skilled workers. JOURNAL OF ECONOMIC SURVEYS, 2026.