THE ADVANTAGES OF APPLYING ARTIFICIAL INTELLIGENCE TECHNOLOGIES IN ECONOMICS

Annotation. This study explores the advantages of applying Artificial Intelligence (AI) technologies in economics, highlighting their transformative impact. Using the IMRAD structure, the research synthesizes qualitative data from over 100 scholarly and industry sources, alongside 10 case studies spanning finance, manufacturing, retail, agriculture, and public policy. Five key benefits are identified: enhanced data analysis and forecasting, operational efficiency and cost reduction, improved customer engagement, innovation and market creation, and risk management and fraud detection. Results, supported by diagrams (Figures 1-5), demonstrate AI’s capacity to boost forecasting accuracy (e.g., 95% in agriculture), save trillions in costs (e.g., $5T by 2030), drive consumer spending, spawn new industries (e.g., $75B healthcare market), and avert billions in losses (e.g., $30B fraud savings). The discussion contextualizes these findings against historical technological shifts, noting AI’s rapid scalability, while addressing challenges like job displacement and ethical concerns. Implications suggest stakeholders—businesses, governments, and educators—must adapt through reskilling, regulation, and ethical AI deployment to maximize benefits. This study underscores AI’s pivotal role in shaping modern economics, offering a comprehensive, visually supported analysis for navigating its opportunities and risks.