Elena Pisanelli (European University Institute) has posted “A New Turning Point for Women: Artificial Intelligence as a Tool for Reducing Gender Discrimination in Hiring” on SSRN. Here is the abstract:
This paper studies whether firms’ adoption of AI has a causal effect on their probability of hiring female managers, using data on the 500 largest firms by revenues in Europe and the US, and a staggered difference-in-differences approach. Despite the concerns the existing literature prompts about AI fairness, I find firms’ use of AI causes, on average, a relative increase by 40% in the hiring of female managers. This result is best explained by one specific type of AI, assessment software. I show the use of such software is correlated with a reduction in firms being sued for gender discrimination in hiring.