Part I: NLP in Economics – Touching Base With the Basics
- By Sam van de Schootbrugge
- 5 min read
Summary
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- A new CEPR working paper, co-authored by UCL Professor Stephen Hansen provides an overview of the methods used for algorithmic text analysis in economics.
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- The paper covers the fundamentals, explaining how semantic meaning embedded in words can be captured by algorithms like BERT and GPT. We cover this in Part I.
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- In Part II, we will summarise how such data representations of text can be used to solve four common economic problems, and the challenges faced in doing so.
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