Andrew Bailey, the Governor of the Bank of England, challenges the prevailing doomsday predictions about AI by relying on his expertise in economic history. Bailey believes that AI will not be as destructive to jobs as Elon Musk and others have suggested. Drawing from his background as an economic historian, Bailey emphasizes that economies and jobs have consistently adapted to technological advancements throughout history. He asserts that collaboration between humans and machines yields better results than relying solely on machines. Bailey's optimism stems from his observation of past transformations and advancements that have consistently created new job opportunities. While acknowledging that the current AI debate feels different, Bailey remains open to studying its impact on the labor market.

He notes that nearly a third of UK businesses surveyed by the Bank of England have made substantial investments in AI in the past year, supporting the notion that AI will create jobs. However, research also suggests potential negative effects on workers' earnings, indicating that AI may affect paychecks rather than completely replace jobs. The specific types of jobs that AI will create are yet to be determined, but there may be a demand for individuals who can teach AI to interact like humans. Despite concerns that AI will steal jobs, MIT research shows that the high upfront costs of implementing AI systems make it cost-effective to automate only a small portion of worker compensation exposed to AI. Ultimately, Bailey's perspective as an economic historian informs his belief that economies will adapt to the presence of AI, just as they have always done with previous technological advancements.