The Jevons Paradox in the AI era: Artificial intelligence adoption for enhancing environmental sustainability at the firm level

Key Points

• The Jevons Paradox indicates that increased efficiency may lead to higher overall resource consumption.
• AI applications can significantly enhance environmental sustainability across various industries and firms.
• Analysis of existing data points to a positive correlation between AI use and sustainability metrics.
• Adopting AI for resource efficiency highlights the need for careful consideration to avoid unintended consequences.