A recent study conducted by Meng Lui, Assistant Professor of marketing at Olin Business in Washington University, found that AI is more closely related to economic growth than previously thought. By using data from eBay, Liu and her co-author Assistant Professor of marketing Xiang Hui found a link between eBay’s language translation AI and trade.
Their study showed that in 2014, after some quality improvements were made to eBay’s language translation AI, trade between countries on eBay increased by 10.9 percent. The study also details trading results between buyers and sellers in the US compared to non-English-speaking countries, such as countries in Latin America, Europe and Asia.
The authors have since concluded that the first hurdle of trade is overcoming language barriers, and it’s interesting to note that since their research was concluded, Google has come up with an even better AI translation tool. Based on the results of their study, Google’s improved AI is expected to significantly increase international trade.
For more details and more implications of the study, read the full story here: https://www.weforum.org/agenda/2019/05/a-i-translation-increases-global-ebay-trade/