CHALLENGES AND DYNAMICS OF THE AI ECONOMY IN THE EU ADMINISTRATIVE AREA
CHALLENGES AND DYNAMICS OF THE AI ECONOMY IN THE EU ADMINISTRATIVE AREA

Author(s): Paula Cobzaru, Alexandru Țugui
Subject(s): Social Sciences, Economy, Public Administration
Published by: Editura Universităţii »Alexandru Ioan Cuza« din Iaşi
Keywords: AI economy; European Union; AI business model; AI labor market; automation
Summary/Abstract: The AI economy is a dynamic component of the digital ecosystem, contributing to social advancement while varying across different regions. We aim to discover the challenges and dynamics of the AI economy models within the EU, comparing them to the other global regions, along with the current state of the theoretical debates and regulations, to deepen and transfer knowledge and policies among the parties.Exploring a mixed-methods approach, the research combines a quantitative systematic review with content analysis of academic publications. We analyzed 12 papers from the Scopus database, published between 2019 and 2024, using the keywords “AI economy." Our findings indicate that in the EU, ethical considerations and regulatory frameworks take precedence over rapid technological innovation. The EU prioritizes sustainable business models over short-term productivity gains, in contrast to the market-driven approach. Strong social policies to support labor force displacement are preferred over a market-driven approach.The study emphasizes that proactive ethical guidelines and reskilling initiatives are critical to mitigating the adverse effects of automation to balance innovation, business productivity, and societal well-being, addressing both job displacement and the long-term social capabilities of the AI economy.

• Details
• Contents