Thursday, June 25, 2026

Why do American's fear AI, but many other countries don't? [Homo economicus strikes again!]

Paul Kedrosky, There’s One Clear Reason Why Americans Are Gloomy About A.I., NYTimes, June 25, 2026.

Hating artificial intelligence may be the only thing about which Americans agree. But they are global outliers in their pessimism. A survey of 24,000 adults across 30 countries found that citizens of nearly all of those countries, rich or poor, see A.I. more favorably than Americans do. This is startling for citizens of a wealthy, advanced economy who are usually enthusiastic tech adopters of anything with a wall charger. [...]

Why isn’t it working? Because the theory is incomplete, at best. If American A.I. pessimism were merely cultural or informational, it would correlate with media consumption, education levels or political polarization. Instead, it cuts across all those categories. It correlates instead with labor market institutions.

Start with the global picture. Plot A.I. sentiment against income and labor market, and there is a pattern. Poorer countries are A.I. optimistic: Indonesia at 76 percent, Thailand at 77 percent and Mexico at 63 percent. Rich countries like the United States, the Netherlands and Belgium are not. What A.I. means depends, in large part, on where you sit economically.

In countries with largely informal economies — where large numbers of people work without contracts, benefits or legal protections — A.I. looks like a ladder to better economic outcomes previously available only to those with capital, education and formal employment. A small manufacturer in Guadalajara or a street vendor in Jakarta doesn’t have much to lose from A.I. disruption, and potentially a great deal to gain.

In rich countries with more formal labor markets, however, A.I. looks more like an ambush. It threatens what people already have: stable employment, predictable income and accumulated professional standing. [...]

But not all wealthy nations feel the same. Norway is more optimistic than France, and Germany more than Canada. Those countries have broadly similar income levels, so income alone doesn’t explain the variation.

So what does? In Norway, losing your job means receiving around 67 percent of your previous wages in unemployment benefits while you search for the next position. In France, it’s around 66 percent, and 60 percent in Germany. The insurance system treats unemployment as a temporary inconvenience and bridges you smoothly across.

The United States pays significantly less in unemployment benefits than many European countries do. [...]

There's more at the link.

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