Growth and distribution in the digital era

Growth paradigms are shifting. Digital technologies and artificial intelligence are reshaping economic growth and distribution as they transform nearly every aspect of business and work. The new technologies hold great promise. But change also causes disruption, creates winners and losers, and produces social stress. Investors, business leaders, workers, and public officials face many questions. Is rising market concentration in industries inevitable with the new technologies or can their benefits be shared more widely across firms? How can the promise of digital innovations in finance be captured while managing risks? Should workers fear the new automation? Is technological change causing economic inequality to rise? What new challenges arise for public policy in areas such as competition, regulation, workforce development, social protection, and taxation?

A recently published book, “Shifting Paradigms: Growth, Finance, Jobs, and Inequality in the Digital Economy,” examines the challenges of digital transformation and suggests how creative policies can make it more productive and inclusive. It follows a 2020 book on technological change, “Growth in a Time of Change: Global and Country Perspectives on a New Agenda.”

On January 20, 2022, the Global Economy and Development program at Brookings, together with Korea Development Institute (KDI), hosted an online event to discuss how technology is reshaping economies and public policy agendas. Brief presentations on the books were followed by two panel discussions.

During the live event, the audiencesubmitted questions by emailing [email protected] or by using the Zoom Q&A function.