Economic Policy Uncertainty and Artificial Intelligence (AI) Innovation: A Cross-Country Analysis Introduction Artificial intelligence (AI) has emerged as a transformative force shaping economic growth, productivity, and global competitiveness. From healthcare and finance to manufacturing and governance, AI-driven innovation is redefining how economies function. However, the pace and direction of AI innovation do not occur in isolation. One critical external factor influencing technological progress is economic policy uncertainty . Economic policy uncertainty—arising from unpredictable fiscal, monetary, regulatory, or trade policies—can significantly affect investment decisions, research priorities, and innovation outcomes. This blog explores how economic policy uncertainty interacts with AI innovation across countries, highlighting key patterns, challenges, and policy implications. Understanding Economic Policy Uncertainty Economic policy uncertainty refers to the lack of c...
Can Executive Diversification Tackle the Green Innovation Bubble? As firms accelerate their investments in green technologies, a new challenge has emerged: the green innovation bubble . While sustainability-driven innovation is essential for long-term growth and environmental responsibility, excessive or poorly guided green investments can lead to inefficiencies, misallocation of resources, and diminishing returns. One promising yet underexplored solution lies in executive diversification . Understanding the Green Innovation Bubble The green innovation bubble occurs when organizations pursue environmentally friendly innovations aggressively—often driven by regulatory pressure, investor expectations, or ESG signaling—without sufficient strategic alignment or absorptive capacity. This can result in symbolic innovation, short-lived technologies, or innovation overload rather than genuine sustainability gains. Executive Diversification as a Strategic Lever Executive diversifica...