Technology

The Automation Paradox

AI Is Transforming Work — but the Impact Is More Complex Than Either Optimists or Pessimists Predicted

Rachel Kim

Labor economist at the University of Chicago, studying the effects of automation and AI on employment, wages, and inequality.

January 15, 2026·7 min read

The Automation Paradox

Predictions of mass unemployment from automation have been made — and proven wrong — repeatedly since the Industrial Revolution. But the current wave of AI-driven automation is different in important ways, affecting cognitive as well as physical work and moving faster than previous technological transitions. The challenge is ensuring that the gains are broadly shared.

TOPICS

automationAIfuture of workemploymentinequality

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