Artificial Intelligence Adoption and Economic Growth: Evidence from a Global Cross-Country Panel (2015–2024)

This paper investigates the relationship between artificial intelligence (AI) adoption and economic growth across a global panel of sixty countries from 2015 to 2024. Using indicators such as AI adoption intensity, digital infrastructure, human capital, research and development (R&D) expenditure, and foreign direct investment (FDI), the study employs a fixed-effects regression framework to control for unobserved heterogeneity. The results reveal that AI adoption and digital infrastructure significantly enhance GDP growth, with human capital acting as a strong mediating factor. Although R&D and FDI contribute positively, their effects are less pronounced in developing economies. The findings underscore the importance of complementary investments in digital skills and infrastructure to fully capture the benefits of AI technologies. Policy recommendations include fostering AI capacity-building programs, expanding broadband connectivity, and promoting ethical and inclusive AI diffusion.