AI significantly impacts our daily lives, making interactions with algorithms increasingly common. These algorithms rely on past data to identify patterns and make recommendations, such as suggesting investments or filtering job applications. However, research in economics and computer science don’t explain these novel interactions. We created a model that analyzes how individuals can strategically interact with AI algorithms and bias its outcomes to serve their own interests.
By Atulya Jain
During the Global AI Summit in Paris, HEC Paris professors Yann Algan and Gilles Babinet analyzed the link between artificial intelligence and democracy. They mapped 100 initiatives worldwide to find who drives mutual influences between AI and democracy, what opportunities AI offers to improve our democratic commons and public services, and what are its dangers.
By Yann Algan , Gilles Babinet
Ever since the arrival of the AI boom, this technology has been revolutionizing industries by enabling both sophisticated decision-making systems at scale and remarkably accurate forecasting. But does it safeguard companies from possible discriminatory and legal abuse? Does AI accuracy integrate the challenges of transparency and fairness? Does it build trust? These are some of the questions we have been exploring for the past four years by monitoring banks and companies and their use of AI in daily business transactions. Our conclusions feed into both HEC’s teaching and partner companies’ practices. Key findings & research contributions:Development of statistical tools to assess fairness, interpretability, frugality, and stability in AI models.Methodologies to identify biases and their causes, and improve fairness without compromising predictive power.Alignment with legal frameworks like the Equal Credit Opportunity Act (ECOA) in the US and the AI Act in Europe.
By Christophe Pérignon
As artificial intelligence reshapes industries, society grapples with its profound impact on creativity, governance, healthcare, misinformation, and the future of work. This year, the Hi! PARIS Center participates to the AI Action Summit, held in Paris on February 6, 7, 10 and 11. An opportunity to bring together five in-depth analyses from HEC Paris faculty, corresponding to the five main topics addressed at the Summit. From the geopolitical race for digital sovereignty to creative industries' struggle with generative AI, these perspectives provide a nuanced understanding of how AI is both an opportunity and a challenge, requiring careful regulation, ethical considerations, and strategic adaptation across sectors.Hi! PARIS is co-founded by HEC Paris and IP Paris, and supported by the French government as one of the nine projects chosen for the "IA Clusters".
The AI Action Summit’s fourth pillar is “Trust in Artificial Intelligence”. Organizers acknowledge the very real risks linked to the integration of AI systems. Participants will discuss the impact of AI on ethics, the fight against discrimination, “malicious use” of these technologies and security commitments by the historic AI pioneers. These debates will address major challenges of AI in terms information manipulation, challenges which HEC Professor David Restrepo has been exploring for several years. He reflects on the latest one, the decision by facebook founder, Mark Zuckerberg, to remove fact-checkers from Meta. This is an adapted version of a tribune first published by Forbes in January 2025. Restrepo also discusses the role of regulations designed to ensure that humans do not lose control over automated systems and that AI systems will do not diminish humanity and human agency.
By David Restrepo Amariles
Pillar 2 of the five pillars of the 3rd AI Action Summit: "The Future of Work"The AI Summit’s second theme on labor focuses on promoting the “socially responsible use of artificial intelligence through sustained social dialogue.” To achieve this, the organizers have already begun to create an impactful network of observatories by connecting international, national, and private sector bodies to “improve sharing of knowledge”. They also aim to deploy AI “in the service of productivity, skills development and well-being at work”. In a just-published case study HEC researcher Aluna Wang examines VINCI’s AI transformation as a possible blueprint for other multinationals hoping to seamlessly integrate new generative AI technology into the workplace.
By Aluna Wang
Pillar 1 of the five pillars of the 3rd AI Action Summit: "AI in the service of the general interest"According to the Summit organisers, AI should be seen as “a political technology to be directed towards economic, social and environmental progress”. Julien Grand-Clément explores a simple AI tool which, if integrated into the decision-making process in hospitals could save countless lives. Grand-Clément is Assistant Professor in Information Systems and Operations Management at HEC Paris and chair holder at the Hi! PARIS Center.
By Julien Grand-Clément
Pillar 3 of the five pillars of the 3rd AI Action Summit: "Innovation and Culture"This theme aims to “boost technological excellence in the service of innovation and artistic creation”. In this line of idea, the Summit will entice participants to discuss the sharing of “value and systems likely to facilitate access to the resources that are critical for the development of AI”. However, “while AI has already made it possible to speed up the creation and distribution of cultural goods, it sometimes calls into question the economic model for creation and the remuneration of intellectual property”. HEC Associate Professor Thomas Paris explores the uneasy relationship between creative industries and Artificial Intelligence.
Digital platforms function as private regulators in the society. What are the consequences, direct and unintended, of these platforms’ rule-making choices on individuals, firms, regulators, and social movement organizations?Key findings:- Controlling Social Movements: Platforms mediate resource mobilization for social movements, potentially restricting collective action.- Complementor Compliance: Digital platforms like Airbnb enforce rules within their ecosystems but often fail to ensure compliance on external platforms.- Creating Professional Classes: Platforms generate new roles, such as professional complementors, who adapt to platform-specific demands, reinforcing network effects.
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
