Regulating Artificial Intelligence: Preventing Economic Disruption and Ensuring Social Stability

Milan Kordestani
168 min readNov 19, 2023

Regulating Artificial Intelligence: Preventing Economic Disruption and Ensuring Social Stability

Executive Summary

The rise of artificial intelligence (AI) is one of the most popular topics of the 2020s that are often discussed by scientists, journalists, industry leaders, and regular individuals. Whereas AI tools provide unique benefits for a variety of stakeholders, their use is accompanied by a set of social and economic risks. In particular, the available evidence provides a compelling reason to believe that the integration of AI into different industries can lead to the disruption of the economy, job displacement, and increased social inequality. A number of employees in the public and private sectors are at risk of job loss, such as workers of manufacturing factories, content creators, administrators, drivers, and many others. Scientists and practitioners continue arguing over the best way to approach the threats of AI in a way that would prevent economic disruption and ensure social stability without hampering AI research.

The current white paper is dedicated to a critical analysis of ways to regulate AI tools to address the social and economic risks of this technology. The main goal of the research is to offer a set of practical recommendations to regulate AI so that Generation Z could benefit from the technology in terms of ensuring social stability and economic prosperity. The study sought to provide a detailed overview of the economic and social risks associated with AI, analyze the disruptive impact of AI on the manufacturing, healthcare, education, financial services, transportation, TV/film, publishing, and content creation sectors, review the current corporate recommendations for guiding AI regulation and development frameworks, and offer potential solutions and regulatory proposals for the chosen industries to control the disruptive effects of AI, while still allowing for innovation and growth.

It was found that AI has already become a vital concern for stakeholders of many industries. Policymakers, businesses, non-government organizations, and citizens all agree that AI must be regulated to prevent a plethora of risks associated with the technology. Simultaneously, there is currently no agreement among them regarding the exact strategy that should be chosen. Some stakeholders, such as Microsoft and OpenAI, advocate for the…

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Milan Kordestani

I'm a 4x founder, incubating socially conscious startups l Chairman at Audo, Nota, Guin Records,