Artificial Intelligence

December 13th, 2024

Digital Platforms as Rule-Makers: Beyond Business Models to Private Regulation

I explore the impact of digital platforms as private regulators: what are the consequences, direct and unintended, of platforms’ rule-making choices on their stakeholders such as individuals, firms, regulators, and social movement organizations?

A person sitting at a desk, using a laptop and a cell phone

Artificial Intelligence

December 11th, 2024

Could AI Trigger the Next Financial Crisis?

The big data revolution - the integration of vast amounts of data through Artificial Intelligence - has far-reaching economic implications, particularly for the financial industry and jobs in this industry. Why? And could AI potentially trigger the next financial crisis, as recently suggested by Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC)? HEC Paris Professor of Finance Thierry Foucault explored how data and algorithms are transforming investment decision-making and trading behavior in financial markets in a November Reskill masterclass. He also tackled the associated risks, and the implications for jobs in the financial industry. Extracts.

By Thierry Foucault

Artificial Intelligence

July 15th, 2024

How is AI Really Impacting Jobs? A Nuanced Approach

Many studies have attempted to estimate the potential effects of technological change on employment and the labor market in France. In March 2024, Emmanuel Macron received the first report from the Committee on Generative Artificial Intelligence, which partly utilizes the recent study by HEC economics professor Antonin Bergeaud. The report concludes that jobs directly replaceable by AI would only represent 5% of the jobs in a country like France, and automation could affect between 10% and 20% of workers, with a high prevalence among managers. In this article, we present the results of these analyses in context.

By Antonin Bergeaud

Artificial Intelligence

August 29th, 2023

How AI Can Help Figure Out When Hospital Patients Need Intensive Care

When hospital patients unexpectedly take a turn for the worse and must be transferred to the intensive care unit (ICU), they are more likely to die or must spend a longer time in the hospital. But research by Julien Grand-Clément, Assistant Professor in Information Systems and Operations Management at HEC Paris and chair holder at the Hi! PARIS Center, and colleagues in the U.S. from Columbia University and the Kaiser Permanente Northern California Division of Research, suggests that a mathematical model commonly used in Artificial Intelligence (AI) can help doctors predict patients’ decline and transfer them to the ICU proactively, before their health condition deteriorate critically.

By Julien Grand-Clément

Artificial Intelligence

March 17th, 2023

Using Innovations on Social Media for More Engagement? Be Aware of The Cultural Differences

According to Instagram, more than 500 million Instagram accounts use Stories every day, with four million businesses using Stories ads every month. But Stories may not universally have the impact that influencers and social media platforms hope they will, of increasing engagement, and revenues, respectively. HEC Paris researchers Reza Alibakhshi and Shirish C. Srivastava share their learnings of their investigation into the impact of Stories on follower engagement with influencers.

By Reza Alibakhshi , Shirish Srivastava

Artificial Intelligence

November 04th, 2022

Future of Finance: How Are New Technologies Reshaping the Sector?

The advent of digital technologies has created a very new and vastly different financial landscape. Today's buying and selling of securities is conducted mostly by computer programs that react within nanoseconds – faster than any human could – to the subtlest market fluctuations. In a new report published by the Centre for Economic Policy Research (CEPR), Professor of Finance Thierry Foucault comes to grips with how technologies are fundamentally changing the way banks, brokers, exchanges, and dealers do their work, and what it means for investors, for privacy and income inequalities.

By Thierry Foucault

Artificial Intelligence

June 15th, 2022

Click, Click, Boom! New Algorithm Set to Boost Revenue for Online Retailers

Online shoppers hunting for the perfect product may have pages and pages of search results to scroll through. An algorithm recently developed by a team of professors incorporates customers “click and search” behavior to help online retailers make important decisions about products’ price and ranking and thus potentially boost online sales.

By Sajjad Najafi

Artificial Intelligence

May 16th, 2022

How Do Algorithmic Recommendations Lead Consumers to Make Online Purchases?

Many E-commerce sites such as Amazon, YouTube, and Netflix, but also online advertisers, use recommender systems. Recommender systems are algorithms that, based on data sets, recommend to users contents and products that match their preferences. In this interview, Xitong Li of HEC Paris, Associate Professor of Information Systems and a Hi! PARIS center’s research fellowship holder, reveals new research, a joint work with two German researchers, and explains how recommender systems induce consumers to buy.

By Xitong Li

Artificial Intelligence

February 10th, 2022

AI in HR: How is it Really Used and What are the Risks?

Artificial intelligence has only recently been taken on board by human resources, and only after being introduced into other fields. Where do we stand in concrete terms? Although there has been a whole host of ingenious innovations (driven on by start-ups in particular), and although everything virtual is all the rage, the technology seems to run up against serious limits when it comes to HR. Based on a survey carried out among HR managers and digitalization project managers working in major companies, I recall three potential pitfalls regarding the data used, the risk of turning AI into a gimmick, and algorithmic governance.

By Françoise Chevalier

Artificial Intelligence

December 09th, 2020

7 minutes

“A $%^* Sexist Program”: Detecting and Addressing AI Bias

A major issue facing companies that use AI, algorithmic bias can perpetuate social inequalities — as well as pose legal and reputational risks to the companies in question. New research at HEC Paris offers a statistical method of tracking down and eliminating unfairness.

By Christophe Pérignon