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National Bureau of Economic Research
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National Bureau of Economic Research

Private US research body that officially dates recessions; published 2026 study on US-Europe GenAI adoption gap.

The National Bureau of Economic Research found in a paper published 1 June that 43% of US workers use generative AI at work, versus 32% across six European countries, attributing the gap to management practices rather than regulation.

Last refreshed: 17 July 2026 · Appears in 1 active topic

Key Question

Why do US workers use AI more than Europeans — and does it come down to management, not regulation?

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Background

The National Bureau of Economic Research (NBER) is a private, non-governmental, nonpartisan research organisation founded in 1920 and headquartered in Cambridge, Massachusetts. Its Business Cycle Dating Committee holds the sole recognised authority to declare the start and end dates of US recessions, using broad monthly indicators, employment, real income, industrial production and retail sales, rather than the popular two-consecutive-quarters GDP rule.

Its most recent calls placed the COVID recession from February to April 2020 and the prior Great Recession from December 2007 to June 2009. Because Federal Reserve communications and official policy language typically avoid the word recession until NBER acts, its determinations carry weight well beyond the dating itself.

Beyond recession dating, the organisation publishes working papers across all fields of economics, several of which, including its work on generative AI adoption and productivity, are now cited by both sides of the argument over whether recent layoffs reflect real automation or ordinary cost-cutting relabelled as such.

Key Issues
AI adoption gap

US workers use AI more than Europeans

A paper published 1 June by NBER researchers (w34995) found 43% of US workers use generative AI at work, against 32% across six European countries surveyed in early 2026 . The 11-point gap traces primarily to differences in management practices rather than regulation, the researchers concluded, a finding that complicates simpler explanations resting on Europe's more protective labour rules.

The gap parallels the US-Europe personal-computer adoption lag of the early 1990s, which closed by 2001; if history repeats, European AI-linked labour disruption would trail the US by three to five years, giving policymakers there a rare advance warning most economic transitions do not provide.

Recession dating

Its verdict on Q1 GDP is pending

The Bureau of Economic Analysis recorded a 0.3% GDP contraction in the first quarter of 2026, published 13 April, the first negative quarter of the current administration's second term . Under NBER's own methodology, a recession call rests on broad monthly indicators, employment, real income, industrial production and retail sales, not the popular two-consecutive-quarters GDP rule, so one contractionary quarter does not itself trigger a declaration.

Because NBER's Business Cycle Dating Committee holds the sole recognised authority to date US recessions, its eventual verdict on this period carries direct political weight: a formal recession finding would validate messaging linking the contraction to tariff policy, while continued silence lets the debate run on GDP headlines alone.

Common Questions
How does the NBER decide when a recession has started?
The NBER Business Cycle Dating Committee uses a broad set of monthly indicators including employment, real income, and industrial production. It does not require two consecutive quarters of negative GDP.Source: NBER
Is the US in a recession after Q1 2026 GDP contraction?
Not yet by NBER standards. The Bureau of Economic Analysis recorded a 0.3 per cent contraction in Q1 2026, but the NBER requires a sustained period of deterioration across multiple indicators. A second consecutive negative quarter would strengthen the case.Source: Bureau of Economic Analysis / NBER
What is the difference between a technical recession and an NBER recession?
A technical recession is two consecutive quarters of negative GDP. The NBER uses broader monthly indicators and can declare a recession without two down quarters, or decline to call one that technically meets the popular definition.Source: NBER
When did the NBER last call a recession?
The most recent NBER recession was the COVID recession: February to April 2020. Before that, the Great Recession ran December 2007 to June 2009.Source: NBER
What did the NBER find about US versus European AI adoption at work?
An NBER working paper (w34995) published in 2026 found 43% of US workers use generative AI at work versus 32% in six European countries. The study attributed the gap to management practices rather than regulatory differences.Source: NBER
Why does management practice explain AI adoption rates better than regulation?
The NBER w34995 paper found that after controlling for industry and country, management quality differences explained a large share of the US-Europe AI adoption gap. European regulatory frameworks had less explanatory power than expected.Source: NBER
What did Daron Acemoglu's NBER paper find about AI and productivity?
Acemoglu's NBER working paper w32487, "The Simple Macroeconomics of AI", estimated AI would raise US total factor productivity by under 0.66% over ten years (under 0.53% on a conservative reading), a sceptical floor against Goldman Sachs Research's 7%/$7tn projection.Source: NBER, w32487
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