nep-knm New Economics Papers
on Knowledge Management and Knowledge Economy
Issue of 2025–09–29
three papers chosen by
Laura Nicola-Gavrila, Centrul European de Studii Manageriale în Administrarea Afacerilor


  1. Higher Education Expansion and Firm Organization By Cirera, Xavier; Cruz, Marcio; Soares Martins Neto, Antonio
  2. The Impact of Human–Artificial Intelligence Collaboration on Learning in Teams, Organizations, and Society By Hendriks, Patrick
  3. The Formation of AI Capital in Higher Education: Enhancing Students’ Academic Performance and Employment Rates By Drydakis, Nick

  1. By: Cirera, Xavier; Cruz, Marcio; Soares Martins Neto, Antonio
    Abstract: This paper investigates the impact of higher education expansion on firm performance in developing countries. It focuses on the significant expansion of higher education in Brazil between 2000 and 2012, which substantially increased higher education enrollment and graduation rates, thereby reducing the costs of hiring college-educated workers. Building on the theory of knowledge-based hierarchies and using a difference-in-differences approach and matching techniques, the paper finds that the surge in skilled labor supply led to a rise in the proportion of college-educated workers within firms in the treated microregions. This increase was accompanied by an increased prob-ability of firms adding knowledge hierarchies, followed by a rise in productivity and an increased likelihood of export. The findings suggest that policies affecting the cost and accessibility of hiring professionals and managers can significantly influence firms’ organizational structures, with implications for firm performance and productivity.
    Date: 2025–09–17
    URL: https://d.repec.org/n?u=RePEc:wbk:wbrwps:11216
  2. By: Hendriks, Patrick
    Abstract: Humans are not born with all the knowledge or skills needed to navigate the countless decisions, challenges, and uncertainties they face every day in their personal and professional lives. Instead, we rely on our ability to learn, developing strategies and acquiring competencies that allow us to adapt to our environment and grow over time. While some knowledge can be acquired through personal experimentation, many of the abilities we depend on have become too complex to be rediscovered through trial and error alone. As a result, humans have long recognized that progress, whether scientific, artistic, or otherwise, is only possible because we build on the insights and experiences of others. Put differently, we often learn far more effectively when we draw on existing knowledge rather than by “reinventing the wheel.” Through direct observation, imitation, collaboration, and instruction, people can acquire knowledge more quickly and with fewer risks than they could through solitary exploration. The same is true for indirect forms of social learning, such as reading books or searching the internet, which provide access to the cumulative experience of others across both space and time. As knowledge accumulates faster than any person can master it, technologies that help us acquire, store, and share information have become indispensable to organizational and societal progress. Artificial intelligence (AI) represents one of the latest milestones in a long line of technologies that have transformed the way people learn. However, unlike earlier breakthroughs such as the printing press or the internet, AI’s impact goes beyond reshaping how we store and share existing knowledge. With its ability to discover complex relationships in large amounts of data, AI can provide advice, make recommendations, and even contribute its own knowledge to organizational and societal learning processes. For example, AI can help discover promising cancer treatments by predicting patient responses to different immunotherapy drugs. This transformative potential has further grown with the emergence of generative AI, which can create entirely new content such as text, images, music, and videos by recombining and building on the human knowledge embedded in its training data. Rather than passively augmenting human learning, AI is actively collaborating with humans in the process of knowledge creation. As a result, few doubt that AI will continue to influence what we learn, how we learn it, and even who we learn from. However, this impact is unlikely to be uniform across all contexts. While AI has the potential to accelerate discovery and democratize information access, it may also obscure human expertise or reinforce existing biases. To guide researchers and practitioners in integrating AI in ways that augment, rather than displace, human learning, this dissertation examines the impact of AI at three levels of analysis, progressing from teams to organizations to society at large. At the team level, this dissertation explores how organizations can effectively manage human-AI teams to promote team collaboration. Based on interviews with potential end users, a prototype team-AI collaboration system was developed that allows human team members to individually configure AI agents by assigning them different roles and personalities. This system was then evaluated through a laboratory experiment in which human-AI teams collaborated on a decision-making task. The results suggest that integrating configurable AI team members into human teams can improve performance by introducing complementary perspectives. However, human participants consistently favored their own expertise for final team decisions, often disregarding superior solutions provided by AI agents. Shifting the focus from collaboration partners to environments, two studies investigate how the virtual reality (VR)-based metaverse can facilitate team collaboration. In a laboratory experiment, five teams performed a collaborative decision-making task using either a VR-based metaverse platform (i.e., Meta Horizon Workrooms) or a traditional videoconferencing tool (i.e., Zoom). The results indicate that team collaboration in the metaverse can be a viable alternative to videoconferencing tools, offering comparable (and in some areas superior) levels of effectiveness, even in teams with minimal prior VR experience. At the organizational level, this dissertation examines how organizations can coordinate the learning activities of their human members and AI to enhance overall organizational learning effectiveness. One study investigates the mutual learning dynamics between humans and AI by introducing artificial assistants (i.e., AI systems designed for recurring one-to-one collaboration) that learn alongside humans. These artificial assistants can affirm or challenge human knowledge while also contributing entirely new insights from domains beyond their human partners’ expertise. Through a series of agent-based simulations, the results show that artificial assistants can reduce learning myopia, the human tendency to favor familiar strategies over new and potentially better alternatives. Optimal outcomes occur when organizations ensure that humans and AI are equally receptive to each other’s insights, thus preventing an unbalanced learning process. A second study examines how AI not only learns but also shapes organizational processes by enacting its own beliefs. For example, AI can select job candidates based on self-learned practices, gradually reshaping the organization’s view of what makes a “good” candidate. Extending an established simulation model, the results suggest that extensive coordination of enactment activities may be unnecessary if humans and AI collaborate periodically to keep their beliefs aligned. Together, these studies highlight that effective human-AI collaboration depends on strategic managerial coordination to maximize organizational learning and adaptability. At the societal level, this dissertation explores strategies for integrating AI into society without compromising cultural diversity. One study examines how different AI integration strategies affect the evolution of cultural beliefs, using agent-based simulations to model interactions between humans and AI. The simulation results show that localized AI, designed to reflect regional or national values, may inadvertently reduce cultural diversity by blending the beliefs of neighboring social groups, challenging the assumption that localization inherently preserves unique cultural identities. In contrast, globalized AI, trained on data biased toward a dominant culture, may initially support diversity but risks long-term polarization by pushing groups with divergent beliefs toward (extreme) views that differ significantly from those of the surrounding majority. These findings underscore that AI affects culture in complex and sometimes unexpected ways, spreading beliefs while also creating personalized echo chambers. To mitigate these risks, the simulation results highlight the need for carefully designed policies that ensure AI leaves space for different perspectives and does not unintentionally reinforce social divides. The studies presented in this dissertation highlight that AI is no longer merely a passive tool but an active participant in human learning processes at the team, organizational, and societal levels. They demonstrate that AI’s ability to both complement and challenge human expertise can enhance collaboration, promote broader knowledge sharing, and mitigate human biases, but only if its integration is carefully managed. Without deliberate coordination, AI can instead reinforce inequalities, entrench dominant narratives, and undermine diversity. This dissertation contributes to the growing understanding of AI’s influence on human learning by offering practical strategies for designing, integrating, and governing AI systems that augment human capabilities. In doing so, it lays critical groundwork for future research aimed at fostering human-AI collaborations that enhance human learning and support the co-creation of knowledge without sacrificing unique human knowledge and agency in the learning process.
    Date: 2025–09–17
    URL: https://d.repec.org/n?u=RePEc:dar:wpaper:157166
  3. By: Drydakis, Nick (Anglia Ruskin University)
    Abstract: The study evaluates the effectiveness of a 12-week AI module delivered to non-STEM university students in England, aimed at building students’ AI Capital. An integral part of the process involved the development and validation of the AI Capital of Students scale, used to measure AI Capital before and after the educational intervention. The module was delivered on four occasions to final-year students between 2023 and 2024, with follow-up data collected on students’ employment status. Moreover, AI Capital is positively associated with academic performance in AI-related coursework. However, disparities persist.students, White students, and those with stronger backgrounds in mathematics and empirical methods achieved higher levels of AI Capital and academic success. Furthermore, enhanced AI Capital is associated with higher employment rates six months after graduation. To provide a theoretical foundation for this pedagogical intervention, the study introduces and validates the AI Learning–Capital–Employment Transition model, which conceptualises the pathway from structured AI education to the development of AI Capital and, in turn, to improved employment outcomes.
    Keywords: university students, AI Capital, AI literacy, Artificial Intelligence, grades, academic performance, employment rates
    JEL: I23 I21 J24 J21 O33 O15 I24 J15 J16
    Date: 2025–09
    URL: https://d.repec.org/n?u=RePEc:iza:izadps:dp18138

This nep-knm issue is ©2025 by Laura Nicola-Gavrila. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
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NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.