Negative Impact Of Artificial Intelligence On Unemployment Case Solution & Answer

Negative Impact Of Artificial Intelligence On Unemployment Case Solution


According to a CNBC report, the CEO of Tesla and Space claims that Artificial Intelligence is smarter than humans and it tends to create an immortal dictator. Robots have displaced the working force from performing tasks. The addition of a robot reduces the employment rate by 0.16-0.20 % points.  (Chiacchio, 2018)Technological advancement and innovation have threatened the employment rate by displacing the workers.

According to BBC News “Robots will replace up to 20 million factory jobs by 2030”

Artificial intelligence has changed our lives in so many ways, but there is also fear that robots might replace the laborers and cause harm to the society by pushing millions of people to poverty because of their job’s displacement, said by Darrell M. West the author of the Brookings book “The Future of Work: Robots, AI, and Automation.”

According to Oxford University researchers, Carl Frey and Michael Osborne, many sectors of our life would be transformed by technology. They conducted a research on 702 occupational groupings and found out that there is a high probability that 47% of U.S jobs would be automated in the next 20 years.

Business Environmental Analysis

Environmental Forces Impacting Business

Environmental forces, especially the external, include; Political, Economic, Social, Technological, Environmental, and Legal. Before categorizing in which category the aforementioned issue lies; a detailed analysis of each force is required.


The companies that develop Artificial intelligence systems, have the capital to invest in machines to reduce the labor costs in future,but it impacts those companies that are financially weak and builds pressure over them to purchase AI systems from giants companies. Many people are losing jobs due to AI systems like robots, which is enhancing the financial gap between poor and upper-class families.


Artificial Intelligence systems are going to trigger the social issues, they are going to create new ethical problems for designers, users, the general public and privacy policy AI systems increase social issues through the displacement of jobs, giant companies, and upper-class families are using AI systems like robots instead of labors,which is increasing the unemployment and poverty ratio.These systems and data are also vulnerable to biases and errors. (the seven most pressing social issues of artificial intelligence, 2019)People are also concerned about controlling the development of military robots and banning autonomous weapons.


AI systems are developed and used by the technological firms,as giant technological firms put pressure on small firms to use their AI systems, which leads the small firms towards reducing  employment opportunities to get an AI system.Many companies are competing with each other to be technologically advanced, to get a competitive edge over their rivals, which builds pressure on the small firms to buy these AI systems by decreasing the ratio of its employees.


Advancement in Artificial Intelligence can negatively impact the environment, as many machines are the source of carbon dioxide emission, which causes ozone layer’s depletion, resulting in diseases to mankind.People are considering it as a threat to the environment,due to the environmental damages caused by IA systems in the past…………………………

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