NYU SternSession 6: Political and Regulatory Responses
SESSION 06 · ECONOMICS OF AI

Political and Regulatory Responses
AI Across Industries

THE BIG QUESTION

What happens when technological change creates concentrated losers faster than institutions can adapt?

1History2Firms3Labor4Macro5Stack6Politics
Before classPrepare, explore and arrive with a point of view

6.1 · SESSION FOCUS

AI Across Industries

Public debate over data centers, AI regulation and autonomous vehicles
6.2

BEFORE CLASS

Read. Watch. Arrive curious.

Required reading

6.3 PREWORK SUBMISSION

Prepare an example and consider the additional questions in Brightspace.
Submit your responses before class.

Your Regulation Line

Choose one AI-enabled technology where regulation is justified despite slowing innovation. Identify the harm, the cost and who bears each.

Exercise 1: Draw Your Regulation Line

How far should each AI application be allowed to go?

For every application, choose one point on the line from unrestricted deployment to prohibition. Submit to see the class distribution.

Driverless robotaxis in dense cities
AI systems making hiring shortlists
AI systems offering medical diagnoses
Facial recognition in public spaces
AI-generated political advertising
AI companions used by minors
Anonymous · one response per student.

Exercise 2: Who Pays When AI Fails?

Who should bear primary responsibility?

For each failure, choose the party that should carry the primary responsibility. Results combine the class choices into a stacked bar.

A driverless robotaxi causes a fatal crash
An AI diagnostic system misses a serious illness
An AI hiring tool discriminates against qualified applicants
A voice-cloning scam causes a major financial loss
Anonymous · one response per student.

Exercise 3: Did the Course Change Your Mind?

Revisit your two forecasts from the start of the course

Answer the same two questions you saw at the start of the course. We can also see if the class's opening forecast has changed at all.

Anonymous · one response per student.
Please complete the Prework Memo and other questions prior to class.Open Session 6 prework in Brightspace
During classSlides + Zoom
6.4

Class Session Links

SESSION 6 SLIDES

Open the Session 6 slides Google Slides

SESSION 6 LIVE CLASS

Join the Session 6 Zoom NYU Zoom

6.5 · Evidence

Charts, cases and current examples · to be added

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6.6 · FUTURE INTERACTIVE

Map the regulation tradeoff

Interface reserved for a short in-class exploration. No data or conclusions have been pre-filled.

After class follow-upConsolidate, submit and reflect

6.5 · AFTER CLASS

3 Minute Memo — Quick Class Reflections.

Open the Session 6 reflection form