A smaller but still concerning impact would be a scenario such as a “Great Recession for white-collar workers.” During the 2007-2009 Great Recession, unemployment rates doubled from 5% to 10% in the US. Such a doubling in the top quartile of exposure would increase its unemployment rate from 3% to 6%. This should be visible in our analysis as well. Note that our core estimate is based on differential changes in the unemployment rate in the exposed group compared to the less exposed group. If unemployment increased for all workers in parallel, we would not attribute this to AI advancements that still leave many tasks unaffected.
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