Large Language Models at Work in China's Labor Market

Fuente: arXiv
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Main Authors: Chen, Qin, Ge, Jinfeng, Xie, Huaqing, Xu, Xingcheng, Yang, Yanqing
Format: Preprint
Published: 2023
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author Chen, Qin
Ge, Jinfeng
Xie, Huaqing
Xu, Xingcheng
Yang, Yanqing
author_facet Chen, Qin
Ge, Jinfeng
Xie, Huaqing
Xu, Xingcheng
Yang, Yanqing
contents This paper explores the potential impacts of large language models (LLMs) on the Chinese labor market. We analyze occupational exposure to LLM capabilities by incorporating human expertise and LLM classifications, following the methodology of Eloundou et al. (2023). The results indicate a positive correlation between occupational exposure and both wage levels and experience premiums at the occupation level. This suggests that higher-paying and experience-intensive jobs may face greater exposure risks from LLM-powered software. We then aggregate occupational exposure at the industry level to obtain industrial exposure scores. Both occupational and industrial exposure scores align with expert assessments. Our empirical analysis also demonstrates a distinct impact of LLMs, which deviates from the routinization hypothesis. We present a stylized theoretical framework to better understand this deviation from previous digital technologies. By incorporating entropy-based information theory into the task-based framework, we propose an AI learning theory that reveals a different pattern of LLM impacts compared to the routinization hypothesis.
format Preprint
id arxiv_https___arxiv_org_abs_2308_08776
institution arXiv
publishDate 2023
record_format arxiv
spellingShingle Large Language Models at Work in China's Labor Market
Chen, Qin
Ge, Jinfeng
Xie, Huaqing
Xu, Xingcheng
Yang, Yanqing
General Economics
Economics
Artificial Intelligence
Computers and Society
This paper explores the potential impacts of large language models (LLMs) on the Chinese labor market. We analyze occupational exposure to LLM capabilities by incorporating human expertise and LLM classifications, following the methodology of Eloundou et al. (2023). The results indicate a positive correlation between occupational exposure and both wage levels and experience premiums at the occupation level. This suggests that higher-paying and experience-intensive jobs may face greater exposure risks from LLM-powered software. We then aggregate occupational exposure at the industry level to obtain industrial exposure scores. Both occupational and industrial exposure scores align with expert assessments. Our empirical analysis also demonstrates a distinct impact of LLMs, which deviates from the routinization hypothesis. We present a stylized theoretical framework to better understand this deviation from previous digital technologies. By incorporating entropy-based information theory into the task-based framework, we propose an AI learning theory that reveals a different pattern of LLM impacts compared to the routinization hypothesis.
title Large Language Models at Work in China's Labor Market
topic General Economics
Economics
Artificial Intelligence
Computers and Society
url https://arxiv.org/abs/2308.08776