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Artificial intelligence and productivity gains: An empirical analysis of industry heterogeneity

Year: 2026

Type: article

Abstract: Several studies have analyzed the impact of artificial intelligence (AI) on productivity. However, scholarly opinions diverge regarding the validity of existing research results. This study empirically examines the causal relationship between AI penetration and industry-level economic performance by analyzing a combined dataset covering 103 countries and compiled from the World Bank, the International Labor Organization, the United Nations, and Crunchbase. To measure AI penetration, we developed a novel metric: the number of startups classified into an AI industry. The results indicate that AI has a significant impact on industry-level value-added performance in the agriculture, production, manufacturing, and transport industries but little impact in the construction industry. Notably, the most pronounced positive impact of AI on productivity is observed in agriculture. Further, its impact depends on the extent to which human rights, such as the right to privacy and confidentiality, are protected. Our results provide theoretical and policy implications for better understanding and leveraging the effects of AI on productivity.

Source: International Review of Economics & Finance

DOI: 10.1016/j.iref.2026.105726

Authors: Eunjung Park, Sangyoon Yi

Institutions: Korea Advanced Institute of Science and Technology, Hana Bank (South Korea)

Language: English

Topic: Economic Growth and Productivity

Subfield: Economics and Econometrics

Field: Economics, Econometrics and Finance

Domain: Social Sciences

SDGs: Decent work and economic growth, Industry, innovation and infrastructure

Open Access status: gold

Estimated APC paid: $1,930