"We explore the effects of AI on the skill premium. To this end, we develop a nested CES production function in which industrial robots predominantly substitute for low-skill workers, whereas AI predominantly substitutes for high-skill workers. We show analytically and numerically that AI has the potential to reduce the skill premium and thereby mitigate or even reverse increases in inequality that have been observed in recent decades."
Why I don't agree; robots, CNC, AI all still greatly enhance the abilities of high skill workers way more than low skill workers.
While to they raise the ability of low skill workers, they similarly raise the ability of high skill workers, not scientifically, by the same amount.
They raise the salary of low skill workers because they can now do things they could not do, supported by the paper. But this is also true of high skill workers.
There is not a cap on ability or productivity. For example, similar to AI, a CNC machine be more effective in the hands of a high skill worker than a low skill worker. What AI might do is lower the entry of them to low skill workers.
In the end all the wages may go up, but the disparity will be the same.