What is the effect of AI technology usage by bureaucrats under problematic conditions on the perceived legitimacy of bureaucratic decisions? Scholars argue that AI usage potentially exacerbates the...Show moreWhat is the effect of AI technology usage by bureaucrats under problematic conditions on the perceived legitimacy of bureaucratic decisions? Scholars argue that AI usage potentially exacerbates the negative consequences of misused bureaucratic discretion. Others suggest that AI usage might curtail bureaucratic discretion and increase outcomes of equity and efficiency. Existing empirical research demonstrates no significant difference between the perceived legitimacy of AI-assisted and human decision-making. This study aims to determine the effect of AI usage on the perceived legitimacy of bureaucratic decisions made under problematic principal-agent dilemma conditions. This effect is assessed across 96 survey respondents from the University of Leiden and the University of Amsterdam using experimental factorial survey analysis. The results of this research indicate that AI usage in decision-making has a significant positive effect on perceived legitimacy (p < 0.001). The main implication of this research is that AI usage can plausibly alleviate the impact of consequential bureaucratic decisions on perceived legitimacy by obscuring bureaucratic discretion. A second implication is that AI usage in bureaucratic decision-making exerts a notable effect on the perceived efficiency of bureaucratic decisions.Show less
