MIT Simulation: AI Can Perform 12% of US Labor’s Wage Value

Researchers at MIT and Oak Ridge National Laboratory developed a simulation that evaluates the skills of all 151 million American workers against over 13,000 AI tools, revealing that 11.7% of the US labor market’s wage value, approximately $1.2 trillion, involves tasks AI can perform. This “Iceberg Index” highlights that current visible AI disruptions mainly affect tech jobs, while significant risks reside in cognitive and administrative roles across various sectors nationwide. States like Delaware and South Dakota have higher exposure values due to their reliance on administrative work, contrasting with tech-heavy regions like California. The index emphasizes the need for new metrics in workforce planning, as traditional economic indicators offer limited insights into this skill-based exposure.

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