CSEET · Economic and Business Environment · AI and Business Environment
A bank uses an AI model to reject loan applications and cannot explain to applicants why a particular application was rejected. Which ethical principle of responsible AI is most directly compromised?
The principle of explainability and transparency is compromised, because applicants and regulators cannot understand the reasons behind an automated decision. Responsible AI expects that decisions affecting individuals can be explained and challenged, which is not possible with an opaque model.
- AScalability
- BExplainability and transparencyCorrect
- CInteroperability
- DCost efficiency
Explanation
When decisions affecting people cannot be explained, the principle of explainability and transparency is breached. Scalability, interoperability and cost efficiency are technical or commercial attributes, not ethical principles about understanding decisions.
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