Study shows:

AI could boost economic output by a fifth

AI could generate "70 billion euros more prosperity" every year.

(Bild: stock.adobe.com)

The intensive use of artificial intelligence (AI) could significantly increase Austria's economic output. Or make it possible to achieve the same economic output with significantly fewer working hours, according to a study published on Monday by the Economica Institute. 

In around ten years, economic output, measured as value added, could be 18 percent higher with full use of AI than if AI is only used at the current level, according to the Economica Institute's calculation on behalf of Microsoft and Accenture. That would be around "70 billion euros more prosperity" per year. Institute head Christian Helmenstein emphasizes that the calculations are conservative - for example, not taking future improvements in AI into account.

"More hope than fear"
The use of AI has an impact above all on the working hours required: 2.24 billion hours, just under a third of the seven billion hours worked in 2023, would be "freed up". However, Helmenstein does not expect this to be reflected in higher unemployment, pointing to the many retirements and falling average working hours.

Microsoft Austria boss Hermann Erlach also does not expect increased unemployment due to the use of AI. However, employees who use AI will displace those who cannot. In future, however, it will be more about finding enough - well-trained - employees than increasing unemployment. "The initial figures we are seeing on labor productivity give us more hope than fear," says Erlach.

Either or
Productivity per employee has barely increased recently. A significant increase in productivity would give the social partners room for maneuver in terms of distribution, which has not been the case recently. However, society will have to decide whether this will support the ageing population or whether the working population will get more free time, says Helmenstein.

AI-induced increases in productivity will not be able to finance both at the same time without a loss of prosperity.