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Auyon Siddiq

Publications and source records attributed to Auyon Siddiq.

3 recordsLinked to original sources

Human Capital, AI, and Labor Commoditization

Has generative AI changed how labor markets value human capital? We study this question using contract-level data from Upwork, a large online labor market. We represent worker profiles with high-dimensional text embeddings, allowing us to capture rich human capital information from unstructured profile text. We then compute the predictive importance of workers' human capital information and posted hourly rates for client demand, and incorporate these measures into a difference-in-differences design around the release of ChatGPT. We find that in more AI-exposed job categories, the importance of human capital declines and the importance of price rises, suggesting a commoditization effect of AI on labor. Two additional findings support commoditization as a mechanism: The demand premium enjoyed by workers with strong human capital declines in more AI-exposed categories, and demand reallocates toward lower-priced workers. Our results have implications for the design of online labor markets, workers' incentives to invest in human capital, and labor welfare.

econ.GN

Inverse Optimization with Noisy Data

Inverse optimization refers to the inference of unknown parameters of an optimization problem based on knowledge of its optimal solutions. This paper considers inverse optimization in the setting where measurements of the optimal solutions of a convex optimization problem are corrupted by noise. We first provide a formulation for inverse optimization and prove it to be NP-hard. In contrast to existing methods, we show that the parameter estimates produced by our formulation are statistically consistent. Our approach involves combining a new duality-based reformulation for bilevel programs with a regularization scheme that smooths discontinuities in the formulation. Using epi-convergence theory, we show the regularization parameter can be adjusted to approximate the original inverse optimization problem to arbitrary accuracy, which we use to prove our consistency results. Next, we propose two solution algorithms based on our duality-based formulation. The first is an enumeration algorithm that is applicable to settings where the dimensionality of the parameter space is modest, and the second is a semiparametric approach that combines nonparametric statistics with a modified version of our formulation. These numerical algorithms are shown to maintain the statistical consistency of the underlying formulation. Lastly, using both synthetic and real data, we demonstrate that our approach performs competitively when compared with existing heuristics.

math.OC

Robust Defibrillator Deployment Under Cardiac Arrest Location Uncertainty via Row-and-Column Generation

Sudden cardiac arrest is a significant public health concern. Successful treatment of cardiac arrest is extremely time sensitive, and use of an automated external defibrillator (AED) where possible significantly increases the probability of survival. Placement of AEDs in public locations can improve survival by enabling bystanders to treat victims of cardiac arrest prior to the arrival of emergency medical responders. However, since the exact locations of future cardiac arrests cannot be known a priori, AEDs must be placed strategically in public locations to ensure their accessibility in the event of an out-of-hospital cardiac arrest emergency. In this paper, we propose a data-driven optimization model for deploying AEDs in public spaces while accounting for uncertainty in future cardiac arrest locations. Our approach involves discretizing a continuous service area into a large set of scenarios, where the probability of cardiac arrest at each location is itself uncertain. We model uncertainty in the spatial risk of cardiac arrest using a polyhedral uncertainty set that we calibrate using historical cardiac arrest data. We propose a solution technique based on row-and-column generation that exploits the structure of the uncertainty set, allowing the algorithm to scale gracefully with the total number of scenarios. Using real cardiac arrest data from the City of Toronto, we conduct an extensive numerical study on AED deployment public locations. We find that hedging against cardiac arrest location uncertainty can produce AED deployments that outperform a intuitive sample average approximation by 9 to 15%, and cuts the performance gap with respect to an ex-post model by half. Our findings suggest that accounting for cardiac arrest location uncertainty can lead to improved accessibility of AEDs during cardiac arrest emergencies and the potential for improved survival outcomes.

math.OC