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The Projected Impact of Generative AI on Future Productivity Growth

Alex Arnon · Penn Wharton Budget Model · 8 Sep 2025

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We estimate that AI will increase productivity and GDP by 1.5% by 2035, nearly 3% by 2055, and 3.7% by 2075. AI's boost to annual productivity growth is strongest in the early 2030s but eventually fades, with a permanent effect of less than 0.04 percentage points due to sectoral shifts.

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Industry report. An industry or consultancy report — produced outside academic peer review.

Published
2025 (13 months ago)
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