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The aggregation paradox of AI: why do micro-economic productivity gains from AI disappear at scale
Other publication - Research Brief   Open access

The aggregation paradox of AI: why do micro-economic productivity gains from AI disappear at scale

International Labour Organization
ILO brief. Research brief, ILO
2026
DOI:
https://doi.org/10.54394/00034342
Appears in  ILO Briefs

Abstract

labour productivity artificial intelligence microeconomics
This research brief examines why strong productivity gains from artificial intelligence (AI) observed at the task and individual worker level have not yet translated into measurable productivity growth at the firm, sectoral or macroeconomic level. It reviews emerging evidence on AI adoption, diffusion and workplace transformation, while exploring the economic and institutional conditions that shape how productivity gains scale across the economy.
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