The divide between people who earn income from investments and those who work for a living could be exacerbated by the artificial intelligence revolution, economists at Australia's largest business lender warn.
While the adoption of AI is expected to boost productivity, without policy intervention the benefits will likely be unevenly felt across the economy, NAB chief economist Sally Auld and senior economist Taylor Nugent found in a research note released on Friday.
Essentially, AI could result in the economic pie getting larger but workers not receiving a larger slice.
"While economists often concentrate on the efficiency gains of AI, there are potentially significant distributional consequences," wrote Dr Auld and Mr Nugent.
"Indeed, one concern that many hold with the rise of AI is the risk that without careful policy decisions, AI may amplify income and wealth inequalities.
