Artificial Intelligence in Education: Why It Matters and the Tools Behind It

Lyudmil Naydenov ()
Additional contact information
Lyudmil Naydenov: Department of Finance, University of Economics - Varna, Bulgaria

Financial Navigator Journal (selected edition), 2025, issue 1, 182-191

Abstract: The paper presents a comparative analysis of public spending on education relative to GDP while examining the PISA test results in mathematics and science of EU students. It seeks to identify a clearly defined and universally valid correlation (applicable to every member state) between the two indicators, yet no such relationship is found. Examples from countries such as Bulgaria and Cyprus illustrate the need for more precise targeting of public funds and a closer alignment with student performance. In this context, the potential of AI-based software to enhance the relevance of the educational system is explored. The study provides a detailed analysis of the following AI tools: Personalized and Adaptive Learning Platforms (ALS), Intelligent Tutoring Systems (ITS), Automated Grading and Assessment Systems with AI, Educational Games, Simulations and Virtual Reality (VR), Chatbots, and Machine Learning (ML)/Educational Data Mining (EDM) tools. Examples of such software and their applications are presented, and the mechanisms by which these AI tools affect student outcomes are identified and summarized. It is concluded that while the realization of positive effects from using AI in the educational sphere is not automatic, the implementation of such software holds significant potential for linking expenditures with tangible benefits.

Keywords: AI in Education; Education Expenditures; Personalized and Adaptive Learning Platforms; Intelligent Tutoring Systems; Automated Grading and Assessment Systems with AI (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journal-fn.ue-varna.bg/index.php/fnj/article/view/19/18 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:vrn:cfinrd:y:2025:i:1:p:182-191

Access Statistics for this article

Financial Navigator Journal (selected edition) is currently edited by Stoyan Kirov

More articles in Financial Navigator Journal (selected edition) from University of Economics Varna Contact information at EDIRC.
Bibliographic data for series maintained by Stoyan Kirov ().