Researchers from MIT and elsewhere have tested the impact of generative AI among 5,000 customer service agents within a Fortune 500 software company, reports Jo Constantz for Bloomberg. “The company’s lowest-skilled workers became 35% faster with the tool,” explains Constantz. “The researchers think this was because the AI essentially transferred top performers’ knowledge to less-experienced colleagues through the automatically-generated recommended responses.”
Prof. Danielle Li, graduate student Lindsey Raymond and Stanford University Prof. Erik Brynjolfsson released an “empirical study of the real-world economic effects of new AI systems,” reports Greg Rosalsky for NPR. The researchers found “AI caused a group of workers to become much more productive.” Rosalsky adds that the study also “shines a spotlight on just how powerful AI is, how disruptive it might be, and suggests that this new, astonishing technology could have economic effects that change the shape of income inequality going forward.”
Prof. Christopher Knittel speaks with Radio Boston host Tiziana Dearing about how high electric bills are impacting efforts to address climate change. The current artificial inflation of the volumetric rate “makes electrification hard, it makes it more expensive,” notes Knittel. “As we, as a Commonwealth, want to move toward electrification, it’s a big headwind that is going to push against our climate goals,” says Knittel.
Financial Times correspondent Rana Foroohar spotlights Prof. Daron Acemoglu and Prof. Simon Johnson’s new book, “Power and Progress,” which “explores several moments over the last millennium when technology led to the opposite of shared prosperity.” In the book, Acemoglu and Johnson “take a different approach to the productivity gains of technology and how they get distributed compared with most of their peers.”
In an opinion piece for The Boston Globe, Prof. Christopher R. Knittel explains why electricity bills in Massachusetts can be so high and how to address the issue. “State law requires Massachusetts to cut greenhouse gas emissions relative to 1990 levels by 50 percent by 2030 and by 85 percent by 2050,” writes Knittel. “In short, we need to replace gasoline and natural gas with electricity. But how we price electricity is making this effort to address climate change harder."
Prof. Simon Johnson writes for The Los Angeles Times about the Federal Reserve’s decision to raise interest rates despite the recent instability in the banking sector. “Increasing the deposit insurance cap and focusing on small-business transaction accounts could stabilize midsize banks, reduce more deposit transfers out of those institutions, and shore up confidence in the banking system,” writes Johnson.
Prof. Amy Finkelstein speaks with Stephen Dubner of Freakonomics Radio about why insurance markets are broken, how they can be fixed, and her new book, “Risky Business.” Finkelstein explains that “one thing I hadn’t realized ‘til I started working in economics is there’s another type of market frailty that’s really important, that’s the subject of a lot of government policy, but that most people just don’t seem to be as aware of. And that’s the problem of selection. And it’s front and center in insurance markets.”
MIT has ranked first in 11 different academic fields in the latest QS World University Rankings, reports Michael T. Nietzel for Forbes.
MIT researchers have found that by “encouraging strategic EV charging placement, rather than allowing EV chargers to be situated merely due to charging company convenience or preferences” it may be possible to “mitigate or eliminate EV charging problems without the need for advanced technological systems of connected devices and real-time communications, which could add to costs and energy consumption,” reports Carolyn Fortuna for CleanTechnica.
MIT researchers have found that placing EV charging stations in strategic locations and setting up charging systems to initiate charging at delayed times could help reduce the impact of EVs on the electrical grid, reports Michael Schoeck for PV Magazine.
Prof. Simon Johnson speaks with Boston Globe reporter Kara Miller about the safety of the U.S. banking system. “Johnson argues that more oversight and regulation are critical to making sure the banking system operates smoothly, even though increased regulations might provoke resistance,” writes Miller.
MIT scientists have found that delayed charging and strategic placement of EV charging stations could help reduce additional energy demands caused by more widespread EV adoption, reports Grace Carroll for Fast Company. “Leveraging these two strategies together significantly eliminates any additional energy demands,” writes Carroll, “and can be tailored to specific local conditions to help cities meet their decarbonization goals.”
A study by Prof. David Autor and his colleagues have found that the pandemic narrowed the wage gap between America’s highest and lowest paid workers, reports Geoff Colvin for Fortune. The study also found “wages of the least educated workers increased more than the wage of the most educated workers, reducing the college wage premium,” writes Colvin.
Prof. John Horton and his colleagues have found that increases in Uber fares only benefit drivers for a limited amount of time, reports Kevin Lewis for The Boston Globe. “They found that fare increases initially provided drivers with higher hourly earnings, but that boost wore off after a couple months,” writes Lewis. “With the higher rates, drivers tried to work more hours and passengers used the service less, reducing the average time each driver was matched with passengers.”
A new study by MIT researchers finds that strategic placement of EV charging stations and creating systems to help stagger charging times could help reduce or eliminate the need for new power plants to handle the impact of EV charging on the grid, reports Sharon Udasin and Saul Elbein for The Hill. The researchers found that “better availability of charging stations at workplaces could help take advantage of peak power being produced midday by solar energy facilities.”