AI, tractors, and the productivity paradox
Sachin,
Technically,
May 01, 2026
Good article that makes the following case: "If AI is so impactful, why isn't it showing up in the productivity stats? The Solow paradox answer is that firms haven't reorganized yet. The computer took nearly a decade to show up in productivity numbers because the organizational work - flattening hierarchies, redrawing workflows, retraining workers, rebuilding integration machinery around the new technology - took nearly a decade to do." I would argue that this is also why we are not seeing 'learning gains' (whatever those are) as a result of AI intervention. The necessary reorganization and rethinking of methods and pedagogy hasn't happened yet.
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