Artificial Intelligence, Productivity and Happiness Economics

Artificial Intelligence is reshaping productivity structures and labour markets globally by transforming how organizations produce goods, deliver services, and manage resources. Advanced algorithms, automation tools, and data analytics systems are enabling firms to optimize operations, reduce errors, and improve decision-making speed. As industries adopt AI-driven technologies, traditional labour roles are evolving, with routine tasks increasingly automated while demand rises for high-skill, technology-oriented jobs. This structural shift is influencing wage patterns, employment stability, and workplace productivity across developed and emerging economies. This research evaluates the relationship between AI adoption, economic productivity, and subjective well-being indicators by examining macroeconomic performance alongside human development outcomes. Productivity improvements driven by AI often lead to higher output levels, cost efficiency, and improved competitiveness. However, economic growth alone does not fully capture human welfare. Therefore, the study integrates concepts from digital economics and happiness economics to assess whether technological advancement translates into better quality of life. Happiness economics emphasizes factors such as job satisfaction, income security, access to public services, work-life balance, and mental well-being.