The convergence of artificial intelligence breakthroughs and declining global population growth presents an unexpected economic opportunity, according to American entrepreneur and venture capitalist Marc Andreessen. This timing may prevent what experts describe as a severe economic contraction.
“If we didn’t have AI, we’d be in a panic right now about what’s going to happen to the economy,” Andreessen stated in a recent discussion with Lenny Rachitsky on his podcast.
“What we’d be staring at is a future of depopulation, and depopulation without new technology would just mean that the economy shrinks.”
According to Andreessen, a declining population fundamentally changes workforce dynamics.
Over the next 10 to 30 years, human workers in many countries will command a premium as population levels shrink, he said.
“If you combine declining population with less immigration, the remaining human workers are going to be at a premium, not at a discount.”
His views come amid widespread job loss fears surrounding AI implementation.
A Randstad survey of 27,000 workers across 35 countries found Gen Z is the most concerned generation about AI’s workplace impact, while Baby Boomers show greater confidence in adapting to the technology.
Productivity Growth Could Mirror The Past
Even if AI triples productivity growth—considered a massive economic shift—it would only match job turnover rates from 1870-1930, a period characterized by abundant opportunity and rapid innovation. That era saw three times the current technological change rates.
Andreessen, who is also co-founder of Netscape, a software company, suggested that even a significant increase in AI-driven productivity would only bring the job turnover rate back to levels seen between 1870 and 1930, a period he characterizes as one of abundant opportunity and rapid innovation.
According to him, that era saw technological change at three times the current rate.
The software engineer stated that AI arrives “precisely when we actually need them to keep the economy from actually shrinking.”
Andreessen offers a more optimistic view of AI, saying the technology could boost economic growth, spur innovation, and create jobs, easing fears of widespread workforce displacement.
Photo: Shutterstock
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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