Is Artificial Intelligence Changing Econometrics? A Literature and Conceptual Review


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Öz D.

AI Derivatives and Quantum Techonologies The 7th International Spring Conferences, İstanbul, Türkiye, 24 - 25 Mayıs 2025, cilt.73, ss.54, (Özet Bildiri)

  • Yayın Türü: Bildiri / Özet Bildiri
  • Cilt numarası: 73
  • Basıldığı Şehir: İstanbul
  • Basıldığı Ülke: Türkiye
  • Sayfa Sayıları: ss.54
  • İstanbul Ticaret Üniversitesi Adresli: Evet

Özet

This study evaluates the impact of artificial intelligence (AI) methods 

on econometric analysis processes. Over the past decade, the increasing 

use of AI and machine learning techniques in economics and finance has 

prompted a transformation in traditional econometric approaches. Based on a 

comprehensive literature review, the analysis addresses how AI-based methods 

contribute to prediction accuracy, variable selection, and causal inference. In 

Turkey, applications have focused on modeling economic indicators using 

Artificial Neural Networks (ANN), Support Vector Machines (SVM), System 

Generalized Method of Moments (S-GMM), and Light Gradient Boosting 

Machine (LightGBM). Globally, these methods have demonstrated superior 

performance in forecasting inflation, analyzing growth, and testing causality, 

compared to classical models. However, classical econometric models still 

maintain a complementary role in terms of interpretability and theoretical 

grounding. In conclusion, AI is not entirely replacing econometric methods 

but reshaping them. Thus, hybrid modeling that integrates both approaches is 

recommended for future research