News Summary

• The Bank of Canada struck an optimistic tone on the economic impact of artificial intelligence.
• Michelle Alexopoulos extolled AI for its potential to increase output per hour worked.
• She added that it could also improve business competitiveness, boost wages for workers and create cost savings for consumers.
• Alexopoulos said the bank expects some jobs to be replaced by AI, but also that “new jobs will emerge, and others will be transformed” The bank has spoken bluntly about Canada’s lagging productivity, calling it an emergency in early 2024.