The Austrian National Bank (OeNB) supports the research project “Human-Algorithm Interactions in Economic Decision Making” of Alexander K. Wagner at the PLUS Department of Economics with an Anniversary Fund of about 250,000 Euro.

Human-algorithm interactions are increasingly shaping the economic behavior of consumers, firms, and therefore society as a whole. This project aims to advance our understanding of the fundamental changes that human-AI collaborations bring to economic decision making by investigating AI-supported human decision making in two important economic domains: pricing and demand planning. The theoretical and empirical analysis will allow us to gain insights into the potential benefits and pitfalls of AI-based decision making in both non-strategic and strategic settings.

For project details, see here.