Principles of Ethical and Fair AI Use AIE Practice Questions (Page 7)

Questions 31–35

1. 31expert · hard

   A credit union uses an AI system to determine credit limits for its members. The system is trained on historical data that includes a bias against members from certain regions. The credit union wants to be fair but also wants to minimize financial risk. Which approach best balances fairness and risk management?

   • ARemove all regional data from the model and rely only on individual financial history.
   • BSet a single credit limit for all members regardless of risk.
   • CUse a fairness-aware machine learning technique that incorporates fairness constraints during model training.
   • DUse the model as-is and accept the bias as a trade-off for accuracy.
   Reveal Solution Discussion Select an answer first
2. 32foundation · easy

   Why is transparency important in AI systems?

   • AIt allows stakeholders to understand how the AI system works and makes decisions
   • BIt guarantees that the AI system will be profitable
   • CIt increases the speed of AI model training
   • DIt reduces the need for human oversight
   Reveal Solution Discussion Select an answer first
4. 33foundation · easy

   How does explainability contribute to ethical AI use?

   • AIt reduces the amount of data needed
   • BIt makes AI systems faster
   • CIt ensures AI systems are more secure
   • DIt allows users to understand why a specific decision was made
   Reveal Solution Discussion Select an answer first
5. 34foundation · easy

   What does fairness in AI primarily aim to prevent?

   • AHigh computational costs
   • BTechnical errors in model predictions
   • CLack of user interface design
   • DBias and discrimination against individuals or groups
   Reveal Solution Discussion Select an answer first
6. 35expert · hard

   A hospital is evaluating an AI system that predicts patient readmission risk. The system is accurate overall but has a higher false-negative rate for patients from lower socioeconomic backgrounds. The hospital's ethics committee must decide whether to deploy. The system could reduce costs and improve care for many, but the bias could worsen health disparities. Which decision-making approach best aligns with ethical AI principles?

   • ADeploy the system and monitor its performance across demographic groups, with a plan to retrain if disparities emerge.
   • BDo not deploy the system until the bias is mitigated to an acceptable level, even if that delays benefits.
   • CAdjust the decision threshold for lower socioeconomic groups to reduce false negatives, then deploy with ongoing monitoring.
   • DDeploy the system but require a human clinician to review all high-risk alerts before any action is taken.
   Reveal Solution Discussion Select an answer first