Research

Working Papers

Substantive regulation and voluntary public disclosure behaviour: Early evidence from the EU AI Act

Solo-authored job market paper

Abstract: "This paper examines how substantive regulation can influence firms’ voluntary public disclosure. Using the European Union Artificial Intelligence Act (EU AI Act) as a setting, I investigate whether and how firms adjust their AI-related disclosure in response to the proposed regulation. The regulation may affect disclosure through changes in business practices and increased salience of AI as a regulated topic. Capital markets respond around key regulatory milestones, indicating that investors track the regulatory process. Considering the disclosure choice, I find that European firms adjust both the likelihood and content of AI disclosure relative to U.S. firms. European firms with (without) pre-proposal period disclosure are less (more) likely to refer to AI than U.S. firms. Content analysis based on a semi-supervised LDA model shows changes in emphasis across different AI-related topics. AI investment is overall unaffected, though there is some weak evidence that firms with pre-proposal period disclosure slightly reduce investment. These results suggest that substantive regulation can reshape the voluntary public disclosure choice and generate externalities for the information environment."

Narrative Disclosures of Loss Firms

with Jeroen Koenraadt and Edith Leung (supervisor)

Received Convergence funding from AI and data science in 2023 

Mandatory Pay Range Disclosures in Job Postings - Early Evidence

with Jeroen Koenraadt, Nico Lehmann and Edith Leung (supervisor)