logo
AI's cost to critical thinking

AI's cost to critical thinking

Globe and Mail7 days ago
This is the weekly Work Life newsletter. If you are interested in more careers-related content, sign up to receive it in your inbox.
School may be out for the summer, but the conversation around artificial intelligence in education is heating up.
Joe Castaldo, a Globe and Mail reporter covering AI and technology, recently joined The Decibel podcast to discuss how AI may be dulling students' critical thinking skills and answer the question, 'What are we losing when we rely too much on AI?'
To set the scene, Mr. Castaldo retold a story from Swiss business professor Michael Gerlich: Mr. Gerlich was sitting in a university auditorium behind a student who was using ChatGPT during a lecture to generate questions that the student would go on to ask the guest speaker. The problem was they were questions the speaker had already extensively answered. 'The student wasn't even paying attention,' Mr. Castaldo says. It's one small example of a growing trend that sparked a study by Mr. Gerlich.
Mr. Gerlich surveyed more than 600 students to explore the connection between AI usage and critical thinking. 'He found the higher somebody's AI use, the lower their critical thinking skills,' Mr. Castaldo says. 'And it was most pronounced for younger people, like under 25.'
While the study didn't prove causation, it raises flags among educators. Some professors reported seeing students who couldn't make even basic academic decisions without consulting AI.
However, it's not just students leaning on AI, knowledge workers are too. According to a survey by workplace technology platform OwlLabs and Pulse, nearly 67 per cent of companies are using AI and 46 per cent of employees report they're either heavily using AI at work or somewhat reliant on it.
This surge brings a cost. A study by Microsoft Research and Carnegie Mellon surveyed 319 knowledge workers and found the more confident someone was in AI's abilities, the less critical thinking they reported.
The survey revealed a few motivational barriers that cause workers to opt-out of critical thinking, including:
These barriers contribute to a broader pattern: even well-intentioned or capable knowledge workers may opt out of critical engagement when organizational structures or task demands don't support it.
Microsoft's research suggests that without motivating workers to critique outputs, AI tools tend to shift cognition from production to oversight — and that can be a slippery slope.
'It's not that the tools themselves are bad, it's how we use them. We can use them in good, effective ways, but a lot of that comes down to the individual's motivation,' Mr. Castaldo says.
From boardrooms to classrooms, the real test will be how leaders cultivate environments where AI challenges us, not just does things for us.
76 per cent
That's how many employers are already using some kind of personality and skills tests in assessing job candidates, according to a recent report from TestGorilla.
Read more
Many hiring managers have been faced with the same challenge: when a new role pops up that demands new skills, do they recruit new talent or retain and retrain the people already on the team?
This article says that the classic '50-per-cent rule,' popularized by Robert Townsend, still holds weight – especially in today's fast-moving skills landscape. The rule advises giving proven internal candidates a shot, even if they only meet half the job's requirements. The missing piece? Support. With mentorship and a strong learning culture, employees can grow into roles while boosting retention and engagement.
Read more
'This stage of life has largely been ignored. That's an injustice that we need to change, particularly when you think about not just the impact to one's own personal health, but the impact to the economy and to society over all. This is an issue that demands urgent attention and action,' says Janet Ko, co-founder of the Menopause Foundation of Canada.
In this article, The Globe explores how the lack of menopause awareness and support doesn't only affect women at work, but the broader economy. It also covers some of the positive changes we've seen at Canadian workplaces and how we can create more inclusive, productive workplaces.
Read more
Canada is witnessing a growing trend of high‑earning individuals leaving the country. Tax advisors report a sharp uptick in wealthy Canadians exploring or finalizing non‑resident status – a significant jump compared to a decade ago.
Read more
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Buy Microsoft Stock Now, or Wait for a Pullback?
Buy Microsoft Stock Now, or Wait for a Pullback?

Globe and Mail

time6 hours ago

  • Globe and Mail

Buy Microsoft Stock Now, or Wait for a Pullback?

Key Points Revenue growth accelerated in the company's most recently reported quarter. Microsoft is scheduled to report its fiscal fourth-quarter earnings later this month. The company pays a dividend, which should grow on an annual basis for the foreseeable future. 10 stocks we like better than Microsoft › Ahead of Microsoft 's (NASDAQ: MSFT) quarterly earnings release on July 30, many investors are likely looking closely at their shares of the software giant. After all, the stock has seen an incredible run recently. Shares are up 42% from April 21 to July 17. Not only has the stock benefited from a sharp V-shaped recovery following a tariff-related sell-off that impacted much of the market, but it has also risen to a new all-time high. The problem? The valuation is now questionably rich. To the company's credit, it's seeing impressive business momentum. Revenue and profit are both rising at double-digit rates, and the company appears well positioned to benefit from tailwinds in artificial intelligence (AI) -- both in terms of increased demand for its AI-related services and cost efficiencies as AI boosts employee productivity. But the big question is whether the stock has risen too far, too fast. Clearly, the company has great momentum. But has a sky-high valuation already priced in the bull case for this stock? Accelerating growth Microsoft's fiscal third-quarter results from late April (its most recently reported quarter) capture how well the company is doing -- and why investors are bidding shares higher. Revenue rose 13% year over year -- an acceleration from 12% growth in fiscal Q2. Notably, when adjusting for foreign exchange, fiscal third-quarter revenue actually rose 15% year over year. Additionally, operating income grew even faster, rising 16%, or 19% in constant currency. "Cloud and AI are the essential inputs for every business to expand output, reduce costs, and accelerate growth," said Microsoft CEO Satya Nadella in the company's fiscal third-quarter earnings release. "From AI infra and platforms to apps, we are innovating across the stack to deliver for our customers." Driving the quarter's results was a 21% year-over-year increase in revenue from the company's intelligent cloud segment. Included in this segment is the company's cloud-computing business, Azure. The cloud-powering infrastructure systems and software segment contributed 33% year-over-year revenue growth. But slower-growing segments still did well. For instance, Microsoft's revenue from its productivity and business processes segment rose 10% year over year, helped by growing Microsoft 365 subscriptions. High expectations Such broad-based strength, driven by lucrative software and services, makes a compelling case for the company's long-term growth potential. But with shares now trading at a price-to-earnings multiple of nearly 40, is the valuation simply too high? Given the stock's recent run-up, investors shouldn't get too excited. On the one hand, Microsoft's balanced business clearly deserves a high valuation multiple. After all, the company has a healthy balance sheet, a strong suite of products, and is seeing double-digit top- and bottom-line growth. However, a price-to-earnings ratio of 40 seems to price in plenty of optimism. Altogether, I'd lean more toward calling the stock a hold instead of a buy at the stock's current price. One reason I'm comfortable with this view, despite the stock's high valuation, is that the company takes some risk off the table every quarter by paying investors a quarterly dividend. Microsoft is a great dividend stock. Though its dividend yield is just 0.7%, there's plenty of room for this dividend payment to grow over time. This is evident by the fact that the company is paying out less than 25% of its earnings in dividends. Additionally, if history is any indication of the future, more dividend increases are likely. The company has increased its dividend every year for 23 years straight. Also helping the bull case is Microsoft's share repurchase program. With plenty of excess cash, the company is aggressively buying back its stock. Combining its dividends and repurchases, the company spent $9.7 billion returning capital to shareholders in fiscal Q3, up 15% year over year. Overall, Microsoft shares may not be a great buy at their current price. On the other hand, the company is giving shareholders plenty of reasons to hold onto their shares. But given the stock's premium valuation, shareholders should expect a bumpy ride. Should you invest $1,000 in Microsoft right now? Before you buy stock in Microsoft, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Microsoft wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,056,790!* Now, it's worth noting Stock Advisor's total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 15, 2025

Meet the AI Stock That's Greatly Outperformed Every Member of the "Magnificent Seven" This Year and Billionaire Philippe Laffont is Buying Hand Over Fist
Meet the AI Stock That's Greatly Outperformed Every Member of the "Magnificent Seven" This Year and Billionaire Philippe Laffont is Buying Hand Over Fist

Globe and Mail

time6 hours ago

  • Globe and Mail

Meet the AI Stock That's Greatly Outperformed Every Member of the "Magnificent Seven" This Year and Billionaire Philippe Laffont is Buying Hand Over Fist

Key Points This high-growth artificial intelligence (AI) company has seen its stock soar in the triple digits this year. The company also is delivering explosive revenue growth. 10 stocks we like better than CoreWeave › The S&P 500 (SNPINDEX: ^GSPC) roared higher over the past couple of years, and though many stocks contributed, one particular group is seen as the leader of that movement. I'm talking about the "Magnificent Seven," a group of supercharged tech stocks that dominate in the world's highest-growth industries, from artificial intelligence (AI) and cloud computing to autonomous vehicle technologies. These players have seen both revenue and their stock prices soar thanks to their innovation and leadership. But one particular stock just showed the world you don't have to be a member of this elite group to deliver fantastic returns to investors, and it hasn't escaped the attention of a certain billionaire: Philippe Laffont of Coatue Management saw the stock's potential early on, buying shares of this company hand over first in the first quarter. Let's meet this AI stock that's greatly outperformed every member of the Magnificent Seven so far this year. Laffont's focus on technology First, though, let's consider why Laffont's interest in the stock is important. Laffont oversees more than $22 billion in 13F securities, or positions that must be reported on a quarterly basis to the Securities and Exchange Commission. Managers of more than $100 million in U.S. securities must file form 13F, and this is great for us because it offers us a glimpse into the most successful investors' strategies and latest moves. Laffont is a "Tiger Cub," or former employee of renowned hedge fund Tiger Management who went on to create a new fund. He started Coatue in 1999 and is heavily invested in tech stocks, with his top holdings Meta Platforms, Amazon, and Taiwan Semiconductor Manufacturing. So Laffont has a certain interest and expertise in technology -- including AI -- companies, which makes it interesting to consider his moves in the industry and examine whether they may be right for us. And this brings us to the subject of the Magnificent Seven-beating stock. This player is CoreWeave (NASDAQ: CRWV), a company that launched its initial public offering in late March and since that time has soared more than 250%. Here's a look at its performance compared to Magnificent Seven stocks so far this year: NVDA data by YCharts In the first quarter, Laffont scooped up 14,402,999 CoreWeave shares, giving it a weight in the portfolio of almost 2.4% and the position of 16 out of a total 70 holdings. Laffont already has benefited from the investment, considering the stock's performance so far, and this performance is for a very good reason: CoreWeave's revenue is on fire. A revenue increase of more than 400% The company reported a revenue increase of more than 400% in the recent quarter, driven by high demand for its AI platform. So, what exactly is CoreWeave's business? The company sells customers access to something greatly needed in the AI boom, and that's compute. CoreWeave has invested in a fleet of more than 250,000 Nvidia graphics processing units (GPUs) -- the top chips powering crucial AI tasks -- across dozens of data centers. Customers can rent access to them as needed, even by the hour. This flexibility, as well as CoreWeave's focus and expertise in AI workloads, has helped it grow in this dynamic market. And even market giant Nvidia believes in the CoreWeave story, as it holds a 7% stake in the company. All this sounds great -- so should you follow Laffont into this potential AI winner? CoreWeave faces some headwinds, such as competition from big cloud players like Amazon Web Services and the fact that it must invest heavily in order to keep growth going -- and this may make it difficult to reach profitability. This means CoreWeave isn't the best choice for cautious investors right now. But if you're a growth-focused investor who doesn't mind some risk, you may consider this player that Laffont and Nvidia both love, as it may be well positioned for soaring revenue growth in the quarters to come -- and might even continue to offer the Magnificent Seven players a run for their money when it comes to stock performance. Should you invest $1,000 in CoreWeave right now? Before you buy stock in CoreWeave, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and CoreWeave wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,056,790!* Now, it's worth noting Stock Advisor's total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 15, 2025 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Adria Cimino has positions in Amazon and Tesla. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Meta Platforms, Microsoft, Nvidia, Taiwan Semiconductor Manufacturing, and Tesla. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

Tech company CEO resigns after viral jumbotron video captured at Coldplay concert
Tech company CEO resigns after viral jumbotron video captured at Coldplay concert

Globe and Mail

time8 hours ago

  • Globe and Mail

Tech company CEO resigns after viral jumbotron video captured at Coldplay concert

A tech company CEO has resigned after controversy over a video captured on the big screen at a Coldplay concert. Andy Byron resigned from his job as CEO of Astronomer Inc., according to a statement posted on LinkedIn by the company Saturday. 'Astronomer is committed to the values and culture that have guided us since our founding. Our leaders are expected to set the standard in both conduct and accountability, and recently, that standard was not met,' the company said in its post on LinkedIn. The move comes a day after the company said that Byron had been placed on leave and the board of directors had launched a formal investigation into the incident, which went viral. What did Coldplay's jumbotron capture? The internet has its theories A short video clip from Coldplay's concert Wednesday at Gillette Stadium in Foxborough, Massachusetts, showed a man and a woman cuddling and smiling, his arms wrapped around her, as she leaned back into him. When they saw themselves on the big screen, her jaw dropped, her hands flew to her face and she spun away from the camera. He ducked out of the frame, as did she. Lead singer Chris Martin had asked the cameras to scan the crowd for his 'Jumbotron Song,' when he sings a few lines about the people the camera lands on. 'Either they're having an affair or they're just very shy,' he joked. Internet sleuths identified the man as the chief executive officer of a U.S.-based company and the woman as its chief people officer. Pete DeJoy, Astronomer's cofounder and chief product officer, has been tapped as interim CEO while the company conducts a search for Byron's successor.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store