There are many challenges facing the United States as it shifts from an industrial to a digital economy, but one of the most fundamental problems lies in regard to workforce development and Science, Technology, Engineering, and Math (STEM) education. New advances in robotics, artificial intelligence, and advanced manufacturing are automating jobs, displacing workers, and requiring new skills from Americans. Computer chips are crucial to many different sectors and the construction of new fabs already is facing employee shortages. With skills gaps in several areas, there could be constraints in coming years on the country’s ability fully to reap the advantages of a digital economy.

In this paper, I argue more effective STEM education and workforce development are necessary for U.S. firms to have the people they need for domestic production, supply chain management, cybersecurity, data analytics, and innovation in general. The shift to a digital economy requires bold actions by government, business, and higher education. Failure to make necessary changes will slow the transformation and impede the country’s ability to benefit from emerging opportunities.

Among the actions that will be required include effective implementation of the U.S. CHIPS and Science Act, boosting domestic manufacturing capabilities, improved workforce development training, and more broadly, STEM education, as well as the prioritization of lifelong learning, reasonable immigration policies, and effective management of geopolitical tensions.

Virtually every day, new announcements are made about advances in generative AI, robotics, and advanced manufacturing. Generative AI employs large language models to produce text, images, videos, software, and many other things. Robotics is transforming manufacturing and warehouse operations, and new technologies are being incorporated in factories. Between these things and new developments in quantum computing, biotech, and cloud computing, technology innovation is racing ahead and posing ramifications for many aspects of human life.

Read the full article about workforce development by Darrell M. West at Brookings.