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Influence of Artificial Intelligence in the Labor Market

Yuehan Cai · Advances in Economics Management and Political Sciences · 1 Jun 2026

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A literature review organising AI's labor-market effects into substitution, complementarity, new task creation and skill mismatch. It concludes that substitution dominates in the short term, complementary and creative effects grow in the long term, and skill mismatch is the central problem of the transition.

Abstract

The rapid development of artificial intelligence is profoundly reshaping the global labor market landscape. This article is based on a systematic literature review and summarizes the four core theoretical mechanisms of substitution, complementarity, new task creation, and skill mismatch. It analyzes the direct impact of artificial intelligence on employment structure, occupational tasks, and skill demand, as well as its indirect effects on job mobility, cross-border and industry differences, and policy interventions. Research has shown that artificial intelligence is primarily driven by substitution effects in the short term, but will generate complementary and creative effects in the long term, with significant cross national, cross industry, and cross regional heterogeneity in its impact. Skill mismatch constitutes the core contradiction of labor force transformation. There are still significant shortcomings in existing research in terms of local empirical evidence, micro task mechanisms, and the impact of cutting-edge AI. This article aims to provide systematic literature support for subsequent research and adaptive policy formulation.

About this publication

Academic journal. Published in an academic journal — typically peer-reviewed before publication, though indexing alone doesn't guarantee review depth.

Published
2026 (5 months ago)
Citations
0 (OpenAlex)

0 citations recorded by OpenAlex — too few 2026 papers in this collection for a fair comparison.

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