AI Policy is Becoming Economic Policy

At Issue

By Jack Ramirez, NJBIA Research Analyst On Mar 2, 2026

Artificial intelligence is often discussed as a regulatory challenge or a technological breakthrough, and while in the short term both are correct, increasingly, it is morphing into a strategic economic advantage.

It is irrefutable that AI has become a core economic input, and the policy choices surrounding its development and deployment are beginning to have an effect on employee productivity, wages, and competitiveness in measurable ways.

Data shows that AI adoption is already translating into economic growth and financial savings for companies, states, and nations. A study of employees that self-reported generative AI usage showed a 1.1% increase in aggregate productivity. And this is just the tip of the iceberg.

At a macro level, according to the Bank of America Institute, AI and technology related investments have significantly boosted US GDP growth by as much as 3% in the first half of 2025. Further estimates show AI could contribute trillions of dollars, upwards of 3.5%, to the global GDP by 2030.

While these gains are significant and a reason for optimism, they are accompanied by challenges. Concerns about job displacement, algorithmic bias, and unequitable access to AI technologies have become central to the policy debate happening across the US and in the Garden State. These challenges do not represent inherent failures of AI itself. Rather, they reveal how rapid adoption has outpaced policy and governance.

Fear of widespread job loss, for example, often overlooks how AI is already being used. Most companies are using AI to automate discrete tasks like writing emails or drafting research proposals that allow workers to focus on higher value responsibilities. The conversation should focus on job transformation, not job displacement. It is in this sense that workforce development policy decisions will largely determine whether AI amplifies opportunities or exacerbates disruption.

It is simple to understand; AI systems are only as reliable as the data and oversight that shape them. Strategic regulations that develop and grow, not stunt the industry, are highly important to the shaping of its future. It is possible for society to balance employee and consumer protection while unleashing the full potential of AI.

While we remain at the tip of the iceberg, one thing is for certain, AI policy is no longer a niche regulatory conversation. It is an essential component of modern economic policy. Those who embrace AI will champion the economy of the future.

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