Assess international transferability of the COV penalty structure

Establish whether the four-penalty workflow coverage (COV) rubric—covering interpersonal context (P1), regulatory/fiduciary accountability (P2), physical presence (P3), and exception handling (P4)—calibrated on U.S. regulatory and workflow norms, transfers validly to labor markets with different collective bargaining arrangements, worker-protection regimes, and sector compositions.

Background

The ATE framework’s COV component discounts raw AI capability for workflow barriers, using a penalty structure tuned to U.S. norms. While the framework is described as country-agnostic, the authors flag uncertainty about whether these penalties generalize to other institutional contexts.

Resolving transferability is critical for extending ATE internationally, as differences in regulation, labor relations, and sectoral makeup may materially change coverage assessments and, hence, exposure estimates.

References

The most consequential open questions for the international case are whether the COV penalty structure (calibrated on US regulatory and workflow norms) transfers to labor markets with different collective bargaining arrangements, stronger worker-protection regimes, or structurally different sector compositions, and how to parameterize adoption velocity tiers for economies with varying AI readiness levels and regulatory environments such as the EU AI Act.