Category Archives: AI

AI Adoption, Regional Productivity, and Inflation: Evidence from Korea and Implications for Monetary Policy

The relationship between artificial intelligence (AI), productivity, and inflation is complex and multifaceted. AI adoption is expected to significantly raise productivity, therefore increasing aggregate output in the long run. However, AI-related spending could increase consumption and investment even before productivity gains materialized. Inflation responses to AI adoption also depends on the expectations of households and […]