Purpose This study examines the asymmetric effect of artificial intelligence (AI) innovation on economic growth in 50 countries from 2000 to 2020. Design/methodology/approach The study adopts the quantile regression method to analyse the asymmetric effect of AI innovation on economic growth. The two-stage least squares regression method is also employed to address potential endogeneity concern. Findings AI innovation stimulates economic growth at low and middle tail of the economic growth distribution. Interaction analyses reveal that the use of AI innovation in the stock market stimulates economic growth while the use of AI innovation to support financial stability and international trade activities diminish economic growth. Asymmetric interaction analyses reveal that: AI innovation stimulates economic growth when countries are experiencing low growth rates; the use of AI innovation in the stock market stimulates economic growth when countries are experiencing high growth rates and in mid-growth emerging market and developing countries; the use of AI innovation to support financial stability activities diminish economic growth when countries are experiencing low growth rates and the use of AI innovation to support international trade activities diminish economic growth when countries are experiencing high growth rates. Originality/value The asymmetric effect of AI innovation on economic growth in cross-country contexts has not been examined. It remains unknown whether AI innovation has differential impacts on the economic growth distribution.
Peterson K. Ozili (2026) studied this question.