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Socio-Economic Impacts of Artificial Intelligence and Digitalization in Post-COVID-19 Europe

Author

Listed:
  • Gancho Ganchev
  • Mariya Paskaleva
  • Kalina Durova-Angelova
  • Yordanka Noneva-Zlatkova

Abstract

The present article addresses a problem which is an extremely important, relevant, and under-researched topic. As a whole, Europe lags behind China and other technologically advanced countries in the field of artificial intelligence (AI) and digitalization; Bulgaria is among the worst places in the EU in terms of digitalization of the economy. This research contributes to understanding the social and economic significance of digitization and AI in the EU after COVID-19. The emergence of artificial intelligence in the socio-economic landscape of EU member states, coupled with accelerated digitalization, heralds a new era in their development which is anticipated to enhance productivity, innovation, and efficiency. This article aims to study and analyse the theoretical foundations as well as empirical and legal developments concerning the socio-economic effects of Europe's "digital decade" and the applications of AI in a post-pandemic era. SWOT analysis was conducted to pinpoint the strengths, weaknesses, opportunities, and recommendations associated with the use of AI in EU countries. Conclusions and recommendations are provided for implementing suitable state interventions, transforming the pandemic's challenges into growth through new technologies, and helping to achieve a high standard of living in all EU nations.

Suggested Citation

  • Gancho Ganchev & Mariya Paskaleva & Kalina Durova-Angelova & Yordanka Noneva-Zlatkova, 2025. "Socio-Economic Impacts of Artificial Intelligence and Digitalization in Post-COVID-19 Europe," Economic Thought journal, Bulgarian Academy of Sciences - Economic Research Institute, issue 2, pages 139-171.
    • Handle: RePEc:bas:econth:y:2025:i:2:p:139-171
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    References listed on IDEAS

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    More about this item

    JEL classification:

    • D02 - Microeconomics - - General - - - Institutions: Design, Formation, Operations, and Impact
    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration

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