Executive summary: This paper proposes a new method to measure AI-related risks by analyzing stock price movements of AI companies, finding that major AI shocks correspond to acquisitions, product launches, and regulatory changes.
Key points:
Traditional risk measurement methods like text analysis have limitations; stock price analysis can provide more immediate and objective risk signals
The study uses “common volatility” (COVOL) analysis to identify AI-specific market movements separate from broader market trends
Five key categories of AI risk identified: economic disruption, social/ethical concerns, security/governance issues, environmental impact, and existential risks
Method improves upon existing approaches by filtering out non-AI related global events (like COVID-19) to isolate AI-specific shocks
Approach provides real-time risk assessment reflecting views of investors, public, and policymakers rather than just media coverage
This comment was auto-generated by the EA Forum Team. Feel free to point out issues with this summary by replying to the comment, andcontact us if you have feedback.
Executive summary: This paper proposes a new method to measure AI-related risks by analyzing stock price movements of AI companies, finding that major AI shocks correspond to acquisitions, product launches, and regulatory changes.
Key points:
Traditional risk measurement methods like text analysis have limitations; stock price analysis can provide more immediate and objective risk signals
The study uses “common volatility” (COVOL) analysis to identify AI-specific market movements separate from broader market trends
Five key categories of AI risk identified: economic disruption, social/ethical concerns, security/governance issues, environmental impact, and existential risks
Method improves upon existing approaches by filtering out non-AI related global events (like COVID-19) to isolate AI-specific shocks
Approach provides real-time risk assessment reflecting views of investors, public, and policymakers rather than just media coverage
This comment was auto-generated by the EA Forum Team. Feel free to point out issues with this summary by replying to the comment, and contact us if you have feedback.