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I would say that progress on general AI can solve a lot of the problems we are facing. To take an obvious and down-to-earth example, let's say we "solve" logistics in the sense that we can transport things wherever we want, timely and cheaply. That would help us with a lot of the problems we are facing, such as hunger. And for solving logistics we essentially need the same skills we need as for solving game-playing.
Yeah, this is a bit like saying we don't need to go to Mars because we should solve poverty first. Solving the problems of going to Mars will solve a lot of other problems and create a lot of industries along the way. Solving AI will solve a lot of other problems and create a lot of industries along the way. A great deal of poverty is a mismatch between bodies and skills needed in the workforce. We haven't needed dit…
You use the example of ditch diggers, but that's actually quite a famous example to demonstrate this point. Milton Friedman was in another country where they were having workers dig with shovels. He asked why they didn't use machinery, and he said it was to create jobs. He replied that if they wanted create even more jobs, they should make them dig with spoons.
AI won't even create jobs. If anything it will take more of them and increase poverty. The benefit of AI is that it can create more wealth than it takes away. AI would be incredibly useful, and so many things could be automated or improved. If the AI is much smarter than us, it could even advance science and engineer things we couldn't dream of.