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In 2024, the San Francisco Fed and the Federal Reserve System Innovation Office launched the EmergingTech Economic Research Network (EERN) to support a better understanding of how new technologies like GenAI are shaping the economies of today and the future. As part of the EERN initiative, we often hold roundtable discussions to hear from industries and sectors at the front lines of digital adoption to ask questions such as: How are artificial intelligence (AI) tools being used? Is AI adoption still in early stages or has it been fully integrated in certain areas? What are the expected or realized impacts on firm productivity and employment?

For decades, economists and policymakers have argued about the meaning of full employment. Those debates are getting more vigorous. Historic changes in labor force growth have resulted in a job count that is barely rising and a labor market that feels static, even stuck—a significant departure from the usual experience of full employment.