The Impact of Corporate AI Whitewashing

About the project

About the Project To cultivate research talents with global leadership, interdisciplinary innovation capabilities, and international research collaboration capabilities, Xi’an Jiaotong-Liverpool University (XJTLU) fully leverages its characteristics of international education and builds upon the long-established strategic cooperation among XJTLU, Xi’an Jiaotong University (XJTU), and the University of Liverpool (UoL). This initiative integrates top-tier research resources to launch a Joint Doctoral Supervision Programme across the three institutions. The widespread adoption of artificial intelligence (AI) has generated a “traffic effect,” raising governance concerns about AI-related information disclosure in capital markets. Some firms exploit AI narratives to embellish financial performance and conceal operational weaknesses, potentially triggering credibility crises, misallocation of resources, and heightened systemic risk. Yet, existing research has not examined the economic consequences of AI whitewashing, its multi-level transmission mechanisms, or its broader systemic impacts. This project addresses three core issues: (1) micro-level consequences and transmission paths of AI whitewashing at the firm level; (2) industry-level mechanisms and outcomes of AI-driven behaviors; and (3) macro-level effects across economic and social network ecosystems. Methodologically, it combines firm-level identification and measurement, industry-level diffusion modeling, and empirical analysis of networked economic and social effects. Joint Supervisory Team: XJTLU Principal Supervisor: Dr Xingzhi Yao XJTLU Co-supervisor: Dr Zuben Jin XJTU Supervisor: Professor Yu Gao UoL Supervisor: Dr Minjoo Kim Requirements: A UK first-class or upper second-class honours Bachelor's degree and a UK Master's degree with Merit (or their equivalent) are required for PhD admissions. Exceptional candidates holding only a Bachelor's degree may be considered on an individual basis. Evidence of good spoken and written English is essential. The candidate should have an IELTS (or equivalent) score of 6.5 or above, if the first language is not English. For more information about entry requirements and admission procedures of PhD programme at XJTLU, please visit: Entry Requirement - Xi'an Jiaotong-Liverpool University How to Apply - Xi'an Jiaotong-Liverpool University Other Requirements (if any): Experienced with econometric analysis and data programming tools. Programme Structure and Fees: Doctoral students in the joint programme are registered with both XJTLU and the UoL. Upon successful completion of the programme, the students will be awarded a PhD degree from University of Liverpool. During their doctoral studies at XJTLU, students are expected to conduct research at XJTU as visiting students. Additionally, students have the opportunity to apply for a three to six-month research visit to UoL. The joint doctoral programme is offered on a full-time basis, with a typical duration of three to four years. The tuition fee is RMB 99,000 per year. How to Apply: Interested applicants are advised to emai zuben.jin@xjtlu.edu.cn and xingzhi.yao@xjtlu.edu.cn the following documents for initial review and assessment (Please include the project title in the subject line). CV Two formal reference letters Personal statement outlining your interest in the position Certificates of English language qualifications (IELTS or equivalent) Full academic transcripts in both Chinese and English (for international students, only the English version is required) Verified certificates of education qualifications in both Chinese and English (for international students, only the English version is required) PDF copy of Master Degree dissertation (or an equivalent writing sample) and examiners reports available

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