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#435674 MIT Future of Work Report: We ...
Robots aren’t going to take everyone’s jobs, but technology has already reshaped the world of work in ways that are creating clear winners and losers. And it will continue to do so without intervention, says the first report of MIT’s Task Force on the Work of the Future.
The supergroup of MIT academics was set up by MIT President Rafael Reif in early 2018 to investigate how emerging technologies will impact employment and devise strategies to steer developments in a positive direction. And the headline finding from their first publication is that it’s not the quantity of jobs we should be worried about, but the quality.
Widespread press reports of a looming “employment apocalypse” brought on by AI and automation are probably wide of the mark, according to the authors. Shrinking workforces as developed countries age and outstanding limitations in what machines can do mean we’re unlikely to have a shortage of jobs.
But while unemployment is historically low, recent decades have seen a polarization of the workforce as the number of both high- and low-skilled jobs have grown at the expense of the middle-skilled ones, driving growing income inequality and depriving the non-college-educated of viable careers.
This is at least partly attributable to the growth of digital technology and automation, the report notes, which are rendering obsolete many middle-skilled jobs based around routine work like assembly lines and administrative support.
That leaves workers to either pursue high-skilled jobs that require deep knowledge and creativity, or settle for low-paid jobs that rely on skills—like manual dexterity or interpersonal communication—that are still beyond machines, but generic to most humans and therefore not valued by employers. And the growth of emerging technology like AI and robotics is only likely to exacerbate the problem.
This isn’t the first report to note this trend. The World Bank’s 2016 World Development Report noted how technology is causing a “hollowing out” of labor markets. But the MIT report goes further in saying that the cause isn’t simply technology, but the institutions and policies we’ve built around it.
The motivation for introducing new technology is broadly assumed to be to increase productivity, but the authors note a rarely-acknowledged fact: “Not all innovations that raise productivity displace workers, and not all innovations that displace workers substantially raise productivity.”
Examples of the former include computer-aided design software that makes engineers and architects more productive, while examples of the latter include self-service checkouts and automated customer support that replace human workers, often at the expense of a worse customer experience.
While the report notes that companies have increasingly adopted the language of technology augmenting labor, in reality this has only really benefited high-skilled workers. For lower-skilled jobs the motivation is primarily labor cost savings, which highlights the other major force shaping technology’s impact on employment: shareholder capitalism.
The authors note that up until the 1980s, increasing productivity resulted in wage growth across the economic spectrum, but since then average wage growth has failed to keep pace and gains have dramatically skewed towards the top earners.
The report shies away from directly linking this trend to the birth of Reaganomics (something others have been happy to do), but it notes that American veneration of the shareholder as the primary stakeholder in a business and tax policies that incentivize investment in capital rather than labor have exacerbated the negative impacts technology can have on employment.
That means the current focus on re-skilling workers to thrive in the new economy is a necessary, but not sufficient, solution to the disruptive impact technology is having on work, the authors say.
Alongside significant investment in education, fiscal policies need to be re-balanced away from subsidizing investment in physical capital and towards boosting investment in human capital, the authors write, and workers need to have a greater say in corporate decision-making.
The authors point to other developed economies where productivity growth, income growth, and equality haven’t become so disconnected thanks to investments in worker skills, social safety nets, and incentives to invest in human capital. Whether such a radical reshaping of US economic policy is achievable in today’s political climate remains to be seen, but the authors conclude with a call to arms.
“The failure of the US labor market to deliver broadly shared prosperity despite rising productivity is not an inevitable byproduct of current technologies or free markets,” they write. “We can and should do better.”
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Posted in Human Robots
#434701 3 Practical Solutions to Offset ...
In recent years, the media has sounded the alarm about mass job loss to automation and robotics—some studies predict that up to 50 percent of current jobs or tasks could be automated in coming decades. While this topic has received significant attention, much of the press focuses on potential problems without proposing realistic solutions or considering new opportunities.
The economic impacts of AI, robotics, and automation are complex topics that require a more comprehensive perspective to understand. Is universal basic income, for example, the answer? Many believe so, and there are a number of experiments in progress. But it’s only one strategy, and without a sustainable funding source, universal basic income may not be practical.
As automation continues to accelerate, we’ll need a multi-pronged approach to ease the transition. In short, we need to update broad socioeconomic strategies for a new century of rapid progress. How, then, do we plan practical solutions to support these new strategies?
Take history as a rough guide to the future. Looking back, technology revolutions have three themes in common.
First, past revolutions each produced profound benefits to productivity, increasing human welfare. Second, technological innovation and technology diffusion have accelerated over time, each iteration placing more strain on the human ability to adapt. And third, machines have gradually replaced more elements of human work, with human societies adapting by moving into new forms of work—from agriculture to manufacturing to service, for example.
Public and private solutions, therefore, need to be developed to address each of these three components of change. Let’s explore some practical solutions for each in turn.
Figure 1. Technology’s structural impacts in the 21st century. Refer to Appendix I for quantitative charts and technological examples corresponding to the numbers (1-22) in each slice.
Solution 1: Capture New Opportunities Through Aggressive Investment
The rapid emergence of new technology promises a bounty of opportunity for the twenty-first century’s economic winners. This technological arms race is shaping up to be a global affair, and the winners will be determined in part by who is able to build the future economy fastest and most effectively. Both the private and public sectors have a role to play in stimulating growth.
At the country level, several nations have created competitive strategies to promote research and development investments as automation technologies become more mature.
Germany and China have two of the most notable growth strategies. Germany’s Industrie 4.0 plan targets a 50 percent increase in manufacturing productivity via digital initiatives, while halving the resources required. China’s Made in China 2025 national strategy sets ambitious targets and provides subsidies for domestic innovation and production. It also includes building new concept cities, investing in robotics capabilities, and subsidizing high-tech acquisitions abroad to become the leader in certain high-tech industries. For China, specifically, tech innovation is driven partially by a fear that technology will disrupt social structures and government control.
Such opportunities are not limited to existing economic powers. Estonia’s progress after the breakup of the Soviet Union is a good case study in transitioning to a digital economy. The nation rapidly implemented capitalistic reforms and transformed itself into a technology-centric economy in preparation for a massive tech disruption. Internet access was declared a right in 2000, and the country’s classrooms were outfitted for a digital economy, with coding as a core educational requirement starting at kindergarten. Internet broadband speeds in Estonia are among the fastest in the world. Accordingly, the World Bank now ranks Estonia as a high-income country.
Solution 2: Address Increased Rate of Change With More Nimble Education Systems
Education and training are currently not set for the speed of change in the modern economy. Schools are still based on a one-time education model, with school providing the foundation for a single lifelong career. With content becoming obsolete faster and rapidly escalating costs, this system may be unsustainable in the future. To help workers more smoothly transition from one job into another, for example, we need to make education a more nimble, lifelong endeavor.
Primary and university education may still have a role in training foundational thinking and general education, but it will be necessary to curtail rising price of tuition and increase accessibility. Massive open online courses (MooCs) and open-enrollment platforms are early demonstrations of what the future of general education may look like: cheap, effective, and flexible.
Georgia Tech’s online Engineering Master’s program (a fraction of the cost of residential tuition) is an early example in making university education more broadly available. Similarly, nanodegrees or microcredentials provided by online education platforms such as Udacity and Coursera can be used for mid-career adjustments at low cost. AI itself may be deployed to supplement the learning process, with applications such as AI-enhanced tutorials or personalized content recommendations backed by machine learning. Recent developments in neuroscience research could optimize this experience by perfectly tailoring content and delivery to the learner’s brain to maximize retention.
Finally, companies looking for more customized skills may take a larger role in education, providing on-the-job training for specific capabilities. One potential model involves partnering with community colleges to create apprenticeship-style learning, where students work part-time in parallel with their education. Siemens has pioneered such a model in four states and is developing a playbook for other companies to do the same.
Solution 3: Enhance Social Safety Nets to Smooth Automation Impacts
If predicted job losses to automation come to fruition, modernizing existing social safety nets will increasingly become a priority. While the issue of safety nets can become quickly politicized, it is worth noting that each prior technological revolution has come with corresponding changes to the social contract (see below).
The evolving social contract (U.S. examples)
– 1842 | Right to strike
– 1924 | Abolish child labor
– 1935 | Right to unionize
– 1938 | 40-hour work week
– 1962, 1974 | Trade adjustment assistance
– 1964 | Pay discrimination prohibited
– 1970 | Health and safety laws
– 21st century | AI and automation adjustment assistance?
Figure 2. Labor laws have historically adjusted as technology and society progressed
Solutions like universal basic income (no-strings-attached monthly payout to all citizens) are appealing in concept, but somewhat difficult to implement as a first measure in countries such as the US or Japan that already have high debt. Additionally, universal basic income may create dis-incentives to stay in the labor force. A similar cautionary tale in program design was the Trade Adjustment Assistance (TAA), which was designed to protect industries and workers from import competition shocks from globalization, but is viewed as a missed opportunity due to insufficient coverage.
A near-term solution could come in the form of graduated wage insurance (compensation for those forced to take a lower-paying job), including health insurance subsidies to individuals directly impacted by automation, with incentives to return to the workforce quickly. Another topic to tackle is geographic mismatch between workers and jobs, which can be addressed by mobility assistance. Lastly, a training stipend can be issued to individuals as means to upskill.
Policymakers can intervene to reverse recent historical trends that have shifted incomes from labor to capital owners. The balance could be shifted back to labor by placing higher taxes on capital—an example is the recently proposed “robot tax” where the taxation would be on the work rather than the individual executing it. That is, if a self-driving car performs the task that formerly was done by a human, the rideshare company will still pay the tax as if a human was driving.
Other solutions may involve distribution of work. Some countries, such as France and Sweden, have experimented with redistributing working hours. The idea is to cap weekly hours, with the goal of having more people employed and work more evenly spread. So far these programs have had mixed results, with lower unemployment but high costs to taxpayers, but are potential models that can continue to be tested.
We cannot stop growth, nor should we. With the roles in response to this evolution shifting, so should the social contract between the stakeholders. Government will continue to play a critical role as a stabilizing “thumb” in the invisible hand of capitalism, regulating and cushioning against extreme volatility, particularly in labor markets.
However, we already see business leaders taking on some of the role traditionally played by government—thinking about measures to remedy risks of climate change or economic proposals to combat unemployment—in part because of greater agility in adapting to change. Cross-disciplinary collaboration and creative solutions from all parties will be critical in crafting the future economy.
Note: The full paper this article is based on is available here.
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#434270 AI Will Create Millions More Jobs Than ...
In the past few years, artificial intelligence has advanced so quickly that it now seems hardly a month goes by without a newsworthy AI breakthrough. In areas as wide-ranging as speech translation, medical diagnosis, and gameplay, we have seen computers outperform humans in startling ways.
This has sparked a discussion about how AI will impact employment. Some fear that as AI improves, it will supplant workers, creating an ever-growing pool of unemployable humans who cannot compete economically with machines.
This concern, while understandable, is unfounded. In fact, AI will be the greatest job engine the world has ever seen.
New Technology Isn’t a New Phenomenon
On the one hand, those who predict massive job loss from AI can be excused. It is easier to see existing jobs disrupted by new technology than to envision what new jobs the technology will enable.
But on the other hand, radical technological advances aren’t a new phenomenon. Technology has progressed nonstop for 250 years, and in the US unemployment has stayed between 5 to 10 percent for almost all that time, even when radical new technologies like steam power and electricity came on the scene.
But you don’t have to look back to steam, or even electricity. Just look at the internet. Go back 25 years, well within the memory of today’s pessimistic prognosticators, to 1993. The web browser Mosaic had just been released, and the phrase “surfing the web,” that most mixed of metaphors, was just a few months old.
If someone had asked you what would be the result of connecting a couple billion computers into a giant network with common protocols, you might have predicted that email would cause us to mail fewer letters, and the web might cause us to read fewer newspapers and perhaps even do our shopping online. If you were particularly farsighted, you might have speculated that travel agents and stockbrokers would be adversely affected by this technology. And based on those surmises, you might have thought the internet would destroy jobs.
But now we know what really happened. The obvious changes did occur. But a slew of unexpected changes happened as well. We got thousands of new companies worth trillions of dollars. We bettered the lot of virtually everyone on the planet touched by the technology. Dozens of new careers emerged, from web designer to data scientist to online marketer. The cost of starting a business with worldwide reach plummeted, and the cost of communicating with customers and leads went to nearly zero. Vast storehouses of information were made freely available and used by entrepreneurs around the globe to build new kinds of businesses.
But yes, we mail fewer letters and buy fewer newspapers.
The Rise of Artificial Intelligence
Then along came a new, even bigger technology: artificial intelligence. You hear the same refrain: “It will destroy jobs.”
Consider the ATM. If you had to point to a technology that looked as though it would replace people, the ATM might look like a good bet; it is, after all, an automated teller machine. And yet, there are more tellers now than when ATMs were widely released. How can this be? Simple: ATMs lowered the cost of opening bank branches, and banks responded by opening more, which required hiring more tellers.
In this manner, AI will create millions of jobs that are far beyond our ability to imagine. For instance, AI is becoming adept at language translation—and according to the US Bureau of Labor Statistics, demand for human translators is skyrocketing. Why? If the cost of basic translation drops to nearly zero, the cost of doing business with those who speak other languages falls. Thus, it emboldens companies to do more business overseas, creating more work for human translators. AI may do the simple translations, but humans are needed for the nuanced kind.
In fact, the BLS forecasts faster-than-average job growth in many occupations that AI is expected to impact: accountants, forensic scientists, geological technicians, technical writers, MRI operators, dietitians, financial specialists, web developers, loan officers, medical secretaries, and customer service representatives, to name a very few. These fields will not experience job growth in spite of AI, but through it.
But just as with the internet, the real gains in jobs will come from places where our imaginations cannot yet take us.
Parsing Pessimism
You may recall waking up one morning to the news that “47 percent of jobs will be lost to technology.”
That report by Carl Frey and Michael Osborne is a fine piece of work, but readers and the media distorted their 47 percent number. What the authors actually said is that some functions within 47 percent of jobs will be automated, not that 47 percent of jobs will disappear.
Frey and Osborne go on to rank occupations by “probability of computerization” and give the following jobs a 65 percent or higher probability: social science research assistants, atmospheric and space scientists, and pharmacy aides. So what does this mean? Social science professors will no longer have research assistants? Of course they will. They will just do different things because much of what they do today will be automated.
The intergovernmental Organization for Economic Co-operation and Development released a report of their own in 2016. This report, titled “The Risk of Automation for Jobs in OECD Countries,” applies a different “whole occupations” methodology and puts the share of jobs potentially lost to computerization at nine percent. That is normal churn for the economy.
But what of the skills gap? Will AI eliminate low-skilled workers and create high-skilled job opportunities? The relevant question is whether most people can do a job that’s just a little more complicated than the one they currently have. This is exactly what happened with the industrial revolution; farmers became factory workers, factory workers became factory managers, and so on.
Embracing AI in the Workplace
A January 2018 Accenture report titled “Reworking the Revolution” estimates that new applications of AI combined with human collaboration could boost employment worldwide as much as 10 percent by 2020.
Electricity changed the world, as did mechanical power, as did the assembly line. No one can reasonably claim that we would be better off without those technologies. Each of them bettered our lives, created jobs, and raised wages. AI will be bigger than electricity, bigger than mechanization, bigger than anything that has come before it.
This is how free economies work, and why we have never run out of jobs due to automation. There are not a fixed number of jobs that automation steals one by one, resulting in progressively more unemployment. There are as many jobs in the world as there are buyers and sellers of labor.
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#433807 The How, Why, and Whether of Custom ...
A digital afterlife may soon be within reach, but it might not be for your benefit.
The reams of data we’re creating could soon make it possible to create digital avatars that live on after we die, aimed at comforting our loved ones or sharing our experience with future generations.
That may seem like a disappointing downgrade from the vision promised by the more optimistic futurists, where we upload our consciousness to the cloud and live forever in machines. But it might be a realistic possibility in the not-too-distant future—and the first steps have already been taken.
After her friend died in a car crash, Eugenia Kuyda, co-founder of Russian AI startup Luka, trained a neural network-powered chatbot on their shared message history to mimic him. Journalist and amateur coder James Vlahos took a more involved approach, carrying out extensive interviews with his terminally ill father so that he could create a digital clone of him when he died.
For those of us without the time or expertise to build our own artificial intelligence-powered avatar, startup Eternime is offering to take your social media posts and interactions as well as basic personal information to build a copy of you that could then interact with relatives once you’re gone. The service is so far only running a private beta with a handful of people, but with 40,000 on its waiting list, it’s clear there’s a market.
Comforting—Or Creepy?
The whole idea may seem eerily similar to the Black Mirror episode Be Right Back, in which a woman pays a company to create a digital copy of her deceased husband and eventually a realistic robot replica. And given the show’s focus on the emotional turmoil she goes through, people might question whether the idea is a sensible one.
But it’s hard to say at this stage whether being able to interact with an approximation of a deceased loved one would be a help or a hindrance in the grieving process. The fear is that it could make it harder for people to “let go” or “move on,” but others think it could play a useful therapeutic role, reminding people that just because someone is dead it doesn’t mean they’re gone, and providing a novel way for them to express and come to terms with their feelings.
While at present most envisage these digital resurrections as a way to memorialize loved ones, there are also more ambitious plans to use the technology as a way to preserve expertise and experience. A project at MIT called Augmented Eternity is investigating whether we could use AI to trawl through someone’s digital footprints and extract both their knowledge and elements of their personality.
Project leader Hossein Rahnama says he’s already working with a CEO who wants to leave behind a digital avatar that future executives could consult with after he’s gone. And you wouldn’t necessarily have to wait until you’re dead—experts could create virtual clones of themselves that could dispense advice on demand to far more people. These clones could soon be more than simple chatbots, too. Hollywood has already started spending millions of dollars to create 3D scans of its most bankable stars so that they can keep acting beyond the grave.
It’s easy to see the appeal of the idea; imagine if we could bring back Stephen Hawking or Tim Cook to share their wisdom with us. And what if we could create a digital brain trust combining the experience and wisdom of all the world’s greatest thinkers, accessible on demand?
But there are still huge hurdles ahead before we could create truly accurate representations of people by simply trawling through their digital remains. The first problem is data. Most peoples’ digital footprints only started reaching significant proportions in the last decade or so, and cover a relatively small period of their lives. It could take many years before there’s enough data to create more than just a superficial imitation of someone.
And that’s assuming that the data we produce is truly representative of who we are. Carefully-crafted Instagram profiles and cautiously-worded work emails hardly capture the messy realities of most peoples’ lives.
Perhaps if the idea is simply to create a bank of someone’s knowledge and expertise, accurately capturing the essence of their character would be less important. But these clones would also be static. Real people continually learn and change, but a digital avatar is a snapshot of someone’s character and opinions at the point they died. An inability to adapt as the world around them changes could put a shelf life on the usefulness of these replicas.
Who’s Calling the (Digital) Shots?
It won’t stop people trying, though, and that raises a potentially more important question: Who gets to make the calls about our digital afterlife? The subjects, their families, or the companies that hold their data?
In most countries, the law is currently pretty hazy on this topic. Companies like Google and Facebook have processes to let you choose who should take control of your accounts in the event of your death. But if you’ve forgotten to do that, the fate of your virtual remains comes down to a tangle of federal law, local law, and tech company terms of service.
This lack of regulation could create incentives and opportunities for unscrupulous behavior. The voice of a deceased loved one could be a highly persuasive tool for exploitation, and digital replicas of respected experts could be powerful means of pushing a hidden agenda.
That means there’s a pressing need for clear and unambiguous rules. Researchers at Oxford University recently suggested ethical guidelines that would treat our digital remains the same way museums and archaeologists are required to treat mortal remains—with dignity and in the interest of society.
Whether those kinds of guidelines are ever enshrined in law remains to be seen, but ultimately they may decide whether the digital afterlife turns out to be heaven or hell.
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#433386 What We Have to Gain From Making ...
The borders between the real world and the digital world keep crumbling, and the latter’s importance in both our personal and professional lives keeps growing. Some describe the melding of virtual and real worlds as part of the fourth industrial revolution. Said revolution’s full impact on us as individuals, our companies, communities, and societies is still unknown.
Greg Cross, chief business officer of New Zealand-based AI company Soul Machines, thinks one inescapable consequence of these crumbling borders is people spending more and more time interacting with technology. In a presentation at Singularity University’s Global Summit in San Francisco last month, Cross unveiled Soul Machines’ latest work and shared his views on the current state of human-like AI and where the technology may go in the near future.
Humanizing Technology Interaction
Cross started by introducing Rachel, one of Soul Machines’ “emotionally responsive digital humans.” The company has built 15 different digital humans of various sexes, groups, and ethnicities. Rachel, along with her “sisters” and “brothers,” has a virtual nervous system based on neural networks and biological models of different paths in the human brain. The system is controlled by virtual neurotransmitters and hormones akin to dopamine, serotonin, and oxytocin, which influence learning and behavior.
As a result, each digital human can have its own unique set of “feelings” and responses to interactions. People interact with them via visual and audio sensors, and the machines respond in real time.
“Over the last 20 or 30 years, the way we think about machines and the way we interact with machines has changed,” Cross said. “We’ve always had this view that they should actually be more human-like.”
The realism of the digital humans’ graphic representations comes thanks to the work of Soul Machines’ other co-founder, Dr. Mark Sager, who has won two Academy Awards for his work on some computer-generated movies, including James Cameron’s Avatar.
Cross pointed out, for example, that rather than being unrealistically flawless and clear, Rachel’s skin has blemishes and sun spots, just like real human skin would.
The Next Human-Machine Frontier
When people interact with each other face to face, emotional and intellectual engagement both heavily influence the interaction. What would it look like for machines to bring those same emotional and intellectual capacities to our interactions with them, and how would this type of interaction affect the way we use, relate to, and feel about AI?
Cross and his colleagues believe that humanizing artificial intelligence will make the technology more useful to humanity, and prompt people to use AI in more beneficial ways.
“What we think is a very important view as we move forward is that these machines can be more helpful to us. They can be more useful to us. They can be more interesting to us if they’re actually more like us,” Cross said.
It is an approach that seems to resonate with companies and organizations. For example, in the UK, where NatWest Bank is testing out Cora as a digital employee to help answer customer queries. In Germany, Daimler Financial Group plans to employ Sarah as something “similar to a personal concierge” for its customers. According to Cross, Daimler is looking at other ways it could deploy digital humans across the organization, from building digital service people, digital sales people, and maybe in the future, digital chauffeurs.
Soul Machines’ latest creation is Will, a digital teacher that can interact with children through a desktop, tablet, or mobile device and help them learn about renewable energy. Cross sees other social uses for digital humans, including potentially serving as doctors to rural communities.
Our Digital Friends—and Twins
Soul Machines is not alone in its quest to humanize technology. It is a direction many technology companies, including the likes of Amazon, also seem to be pursuing. Amazon is working on building a home robot that, according to Bloomberg, “could be a sort of mobile Alexa.”
Finding a more human form for technology seems like a particularly pervasive pursuit in Japan. Not just when it comes to its many, many robots, but also virtual assistants like Gatebox.
The Japanese approach was perhaps best summed up by famous android researcher Dr. Hiroshi Ishiguro, who I interviewed last year: “The human brain is set up to recognize and interact with humans. So, it makes sense to focus on developing the body for the AI mind, as well as the AI. I believe that the final goal for both Japanese and other companies and scientists is to create human-like interaction.”
During Cross’s presentation, Rob Nail, CEO and associate founder of Singularity University, joined him on the stage, extending an invitation to Rachel to be SU’s first fully digital faculty member. Rachel accepted, and though she’s the only digital faculty right now, she predicted this won’t be the case for long.
“In 10 years, all of you will have digital versions of yourself, just like me, to take on specific tasks and make your life a whole lot easier,” she said. “This is great news for me. I’ll have millions of digital friends.”
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