In a recent report, the International Monetary Fund (IMF) sounded an alarm, forecasting that nearly 60% of jobs worldwide will be affected by the rise of artificial intelligence (AI).

The international monetary body noted that AI is expected to impact a larger share of jobs, particularly in advanced economies. In about half of these cases, employees can anticipate positive outcomes as AI integration enhances their productivity.

Conversely, in certain situations, AI is poised to take on essential tasks currently carried out by humans. This shift has the potential to decrease the demand for labor, potentially influencing wages and leading to job displacement.

IMF Managing Director Kristalina Georgieva said there is potential exacerbation of overall inequality due to AI, stating in a blog post that policymakers need to proactively address this concern to prevent the technology from heightening social tensions.

“In most scenarios, AI will likely worsen overall inequality, a troubling trend that policymakers must proactively address to prevent the technology from further stoking social tensions,” Georgieva said in a blog post on the study.

Georgieva acknowledged the nuanced impact of AI on income inequality, highlighting that its effects will hinge on the extent to which the technology complements high earners. She explained that increased productivity from high-income workers and companies utilizing AI could widen the wealth gap.

To counteract these potential repercussions, Georgieva urged countries to establish “comprehensive social safety nets” and implement retraining programs for vulnerable workers, according to a Bloomberg report.

Contrary to the notion that AI might outright replace jobs, Georgieva’s analysis suggests that a more likely scenario is the augmentation of human work by AI. However, the advanced economies are expected to bear a more substantial impact, with around 60% of jobs potentially affected compared to emerging and low-income countries.

This revelation comes amid discussions at the World Economic Forum in Davos, Switzerland, where global business and political leaders are addressing the challenges and opportunities presented by AI. Companies, in a bid to stay competitive, have been investing heavily in AI, raising concerns among employees about the future of their roles.

One notable example is Buzzfeed Inc., which recently announced plans to leverage AI for content creation and subsequently closed its core news department, leading to the layoff of over 100 staffers. The concerns surrounding AI have prompted the European Union to reach a tentative deal in December on legislation outlining safeguards for AI, while the United States continues to deliberate on its federal regulatory stance.

Beyond the economic implications, the Basel Committee on Banking Supervision has stressed the need for a coordinated global response to address the challenges posed by AI. Pablo Hernández de Cos, the chair of the Basel Committee and governor of the Bank of Spain, cautioned that the rapid evolution of AI could alter the course of history, not necessarily in a positive way.

In an interview, De Cos urged global leaders to consider financial regulation as a model for addressing AI-related issues, drawing attention to the remarkable cooperation that allowed financial watchdogs to stabilize the world’s financial system during crises. He emphasized the need for international institutions to collaborate in finding solutions, particularly in the face of increasing geopolitical challenges.

As part of these efforts, the Basel Committee plans to publish a report in the coming months outlining the financial stability implications of AI. De Cos expressed concern about the difficulty in reaching common agreements at the geopolitical level, noting the need for proactive measures to navigate the challenges posed by AI and ensure a stable and inclusive future.

Meanwhile, the IMF forecasts that the impact of technology on jobs in low-income countries will be notably lower, affecting only 26% of employment.

This aligns with a 2023 report from Goldman Sachs, which projected that AI could potentially replace the equivalent of 300 million full-time jobs. However, the report also suggested the possibility of new job creation alongside increased productivity.

IMF Managing Director, Ms. Georgieva, highlighted a concern that many low-income countries lack the necessary infrastructure and skilled workforces to fully harness the benefits of AI. This raises the risk that over time, the technology could exacerbate global inequality among nations.

“Many of these countries don’t have the infrastructure or skilled workforces to harness the benefits of AI, raising the risk that over time the technology could worsen inequality among nations,” Ms Georgieva said.

LinkedIn Summary

The surge in artificial intelligence applications and their implications for the workforce is expected to be a hot topic of discussion at the World Economic Forum in Davos, Switzerland, this week. Kristalina Georgieva, the head of the International Monetary Fund (IMF), issued a warning that nearly 40% of jobs globally could be affected by developments in artificial intelligence, for better or for worse. A new IMF analysis shows the effects are likely to be particularly acute in advanced economies, where about 60% of positions could see an impact, compared with about a quarter in low-income countries.

• About half affected jobs may benefit from AI through higher productivity, while the other half could see AI taking over tasks performed by humans, reducing labor demand or even replacing jobs in some cases.
• A new global survey from Deloitte’s AI Institute shows top executives are “far from ready” to deal with the implications of generative AI, reports Axios.
• Citing anonymous sources, Bloomberg reports that Apple is shutting down an AI-related team in San Diego, “leaving many employees at risk of termination.”

In a move aimed at empowering its user base of over 180 million, OpenAI has unveiled an official prompt engineering guide to help users derive optimal results from its powerful language model, ChatGPT.

The guide shares invaluable strategies and tactics that users can combine to enhance the effectiveness of their prompts and maximize the utility of ChatGPT in various business applications.

The guide, a comprehensive resource, outlines the nine key components of an effective prompt and highlights four common pitfalls to avoid when interacting with ChatGPT. OpenAI encourages users to experiment with the large language model to save time and elevate their business operations to new heights.

Perfecting Prompts: Writing Clear Instructions for ChatGPT

OpenAI stresses the importance of providing crystal-clear and explicit instructions to ChatGPT, reminding users that “These models can’t read your mind.” The guide advises users to keep instructions simple and specific as if explaining a task to a junior team member.

“If outputs are too long, ask for brief replies. If outputs are too simple, ask for expert-level writing. If you dislike the format, demonstrate the format you’d like to see,” it said.

OpenAI emphasizes that the more detailed the instructions, the higher the likelihood of obtaining the desired results.

The guide provides examples of effective instructions, such as asking the model to adopt a specific persona, like “act as a business coach.” Techniques like line breaks and explicit specifications of desired output length are also recommended to ensure clarity. OpenAI encourages users to leave nothing to chance and provide instructions that leave minimal room for interpretation.

Provide Reference Text: Guiding ChatGPT with External Context

Highlighting the significance of explicit guidance, OpenAI acknowledges the potential for language models to invent fake answers.

“Language models can confidently invent fake answers, especially when asked about esoteric topics or for citations and URLs,” as OpenAI admitted.

To counter this, users are advised to include reference text, guiding the model’s responses. Whether instructing the model to answer using specific content from the reference text or demanding citations for accuracy, providing a reference serves as a critical component in crafting effective prompts.

In the same way that a sheet of notes can aid a student in an exam, reference text helps ChatGPT answer with fewer fabrications. This step ensures that the model grounds its responses in existing knowledge, offering more accurate and reliable information.

Split Complex Tasks: Breaking Down for Better Results

The guide draws parallels between software engineering principles and prompt construction, advocating for the decomposition of complex tasks into modular components.

“Just as it is good practice in software engineering to decompose a complex system into a set of modular components, the same is true of tasks submitted to a language model,” said OpenAI’s team within the guide. “Complex tasks tend to have higher error rates than simpler tasks.”

OpenAI advised that breaking down intricate requests into simpler subtasks not only reduces error rates but also facilitates more accurate responses.

In acknowledgment of the model’s processing time requirements, users are encouraged to refrain from demanding immediate answers. OpenAI recommends asking for a “chain of thought” before a final answer, allowing the model to reason its way toward a more reliable response. This collaborative approach ensures accuracy by giving the model the necessary time to process information thoroughly.

Give the Model Time: Allowing ChatGPT to Think

OpenAI stated that ChatGPT, like any problem solver, needs time to “think.” The guide suggests that asking for a ‘chain of thought’ before an answer can help the model reason its way toward correct answers more reliably. In scenarios where immediate answers may lead to reasoning errors, allowing the model time to process information becomes crucial.

Instructing the model to work out its solution before rushing to a conclusion enables a more thoughtful response. By encouraging users to be patient and collaborative in the process, OpenAI ensures that ChatGPT has the necessary time to generate accurate and well-thought-out answers.

Use External Tools: Enhancing ChatGPT’s Capabilities

Recognizing the model’s limitations, OpenAI advises users to integrate outputs from external tools to compensate for weaknesses.

“Compensate for the weaknesses of the model by feeding it the outputs of other tools,” said OpenAI.

The guide specifically mentions tools like the Code Interpreter for tasks such as math and code execution. OpenAI encourages users to tell the model about relevant documents or utilize external tools for more reliable and efficient results.

“A code execution engine like OpenAI’s Code Interpreter can help the model do math and run code,” which means you can upload spreadsheets or documents and ask for information based on the stats and numbers.

Compensating for the weaknesses of the model by leveraging the outputs of other tools becomes a crucial strategy. OpenAI recommends combining the strengths of external tools with ChatGPT’s capabilities to achieve the best of both worlds and enhance overall performance.

Test Changes Systematically: Ensuring Incremental Improvement

OpenAI emphasizes the importance of testing changes systematically to enhance performance. The guide advises users to measure the impact of prompt modifications through a comprehensive test suite, ensuring that improvements are consistent across various scenarios. The message is clear – first measured, then managed.

By defining a comprehensive test suite, users can make incremental changes to prompts and assess the impact on performance. This systematic approach enables users to understand which prompts and outputs lead to better results, fostering a continuous improvement mindset.

Get Better Results: OpenAI’s Guide to Perfect Prompts for ChatGPT

OpenAI’s official guide provides a comprehensive roadmap for users to unlock the full potential of ChatGPT in their business endeavors. By perfecting prompts through clear instructions, navigating complex tasks with thoughtful decomposition, leveraging external tools, and systematically testing changes, users can achieve optimal results.

OpenAI encourages users to approach ChatGPT with a mindset of experimentation, enabling them to save time and supercharge their businesses successfully. This guide serves as the key to prompt mastery and business success with ChatGPT.