The impact of AI technologies on economic growth, productivity, and governance: VAR analysis in Moroccan territory

Abstract

This study aims to discuss the impact of AI technologies on economic growth and governance to promote new strategies based on AI in Moroccan territory. AI industry performed the development engine infrastructure and automated tasks into the needs of the territory. In this research, we explore the relationship between AI variables, Economic growth, productivity variables, and governance variables. The study’s originality displays that Moroccan public policies adhere to AI compliance strategies to promote productivity and boost government performance into territory insights. Furthermore, we conduct our analysis in two steps; the first one is to load factors in PCA and the second one is to build VAR and SVAR model to conduct algorithms and promote new strategies for AI integration in local specificity of the Moroccan model in R language using Rstudio software. This method is useful to predict algorithms based on information on the past and predict their future modeling impact to facilitate planning for new policies and boost their performance strongly for decision-making process in data frame 2011-2022. As well as this period involves short-term dynamics under the limit of 1 to 2 lags. Either, the results show that AI has a significant role on the governance indicators, economic growth and productivity. Moreover, policymakers should consider AI impact on employment strategies and boost governance quality towards local actors in Moroccan territory.

Keywords: AI technologies- Moroccan territory - Economic growth and productivity- Governance

JEL classification: H1, J20, O3, O43, O47

Paper type : Empirical research