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The causes and consequences of firms’ focus on artificial intelligence


The European Union (EU) attaches critical importance to AI. With its new strategy, called the “European approach to AI”, the EU aims to boost investment to foster the uptake of AI by EU firms. While the potential of AI is widely acknowledged, it is not evident that the focus on AI will translate into the targeted economic benefits. To date, we lack empirical evidence about the firm-level consequences of firms’ increasing focus on AI. The reason for this lack of knowledge is a paucity of firm-level data.
In this project, I contribute to our understanding of the causes and consequences of firms’ increasing focus on AI by using a large firm-level dataset. First, I use automated textual analysis to create a unique measure that captures firms’ focus on AI. The measure is based on publicly available documents and allows separating between different AI capabilities. Second, I investigate what causes firms to focus on AI. The answer to this question will be of critical importance to policymakers. It helps them to use the most effective mechanisms to increase AI uptake. Third, I investigate the effect of firms’ AI focus on (a) efficiency, (b) innovation, and (c) employment. Understanding the consequences of firms’ increasing focus on AI is crucial for policymakers. The findings of this project guide them in making efficient investments and designing policies that benefit the workforce.


Net EU contribution
€ 203 464,32
Minderbroedersberg 4
6200 MD Maastricht

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Limburg (NL) Zuid-Limburg
Activity type
Higher or Secondary Education Establishments
Non-EU contribution
No data