Title: Transforming Multidisciplinary Research Through Artificial Intelligence
Chief Editors: Dr. Nagasudha R and Dr. Geetha V
Associate Editors: Dr. Aarti Sharma and Ms. P. Nithyashankari
Co-Editors: Dr. Madhumathi Reddim and Dr. Shishira Srinivasa
ISBN: 978-93-7183-019-5
Chapter: 11
DOI: https://doi.org/10.59646/804/11
Author: Dr. Mangi Lal Jain
Abstract
In the digital era, the digitalization of economic information has also taken a quantum leap in terms of collection, analysis, and policy decision making with the advent and development of artificial intelligence (AI) and big data. This research paper delves into how AI and big data can redefine economic policy, focusing on their ability to enhance forecasting, resource allocation, policy responsiveness, and evidence-based decision-making. To carry out the research, a mixed-method design is employed, a combination of quantitative economic indicators and big data analytics, complemented by qualitative data obtained from structured interviews with economists, economists and financial experts. The findings show that using AI and big data can be a game-changer in improving economic policy, as they can handle massive and intricate datasets, detect emerging economic trends, forecast market developments, and facilitate timely policy interventions. Despite the technological capabilities, some challenges still exist such as data privacy issues, algorithmic bias, cybersecurity threats, access to digital infrastructure, and institutional and technical skills. Additionally, the impact of AI-based economic decision-making is a balance between advanced analytics and human oversight, suggesting a need for careful implementation to maximize efficiency and accuracy while ensuring that social, ethical, and economic implications are considered. The paper also presents policy measures and policy frameworks that could help facilitate the responsible use of AI and big data in economic governance, such as investments in digital infrastructure, creating data governance frameworks, enhancing analytical capacity and defining transparent and accountable AI systems. This research work serves as a reminder of the opportunities and challenges of data-driven technologies in economic policy and their potential to enhance economic resilience, policy responsiveness and support for informed policy decisions.
Keywords: Artificial Intelligence, Big Data, Economic Policy, Digital Economy, Data-Driven Decision-Making, Economic Forecasting, Policy Innovation, Digital Transformation, Economic Governance, Algorithmic Decision-Making