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Traditional competitive markets do not account for negative externalities; indirect costs that some participants impose on others, such as the cost of over-appropriating a common-pool resource (which diminishes future stock, and thus…
The growing integration of AI into cybersecurity is reshaping the balance between attackers and defenders. When access to advanced AI-enabled defence tools is uneven, resource-limited defenders may be unable to adopt effective protection,…
With the growing attention and investment in recent AI approaches such as large language models, the narrative that the larger the AI system the more valuable, powerful and interesting it is is increasingly seen as common sense. But what is…
Generative Artificial Intelligence (GAI) has made outstanding strides in recent years, with a good-sized impact on software product management. Drawing on pertinent articles from 2016 to 2023, this systematic literature evaluation reveals…
The diffusion of Generative AI (GenAI) constitutes a supply shock of a fundamentally different nature: while marginal production costs approach zero, content generation creates congestion externalities through information pollution. We…
Using a model in which agents compete to develop a potentially dangerous new technology (AI), we study how changes in the pricing of factors of production (computational resources) affect agents' strategies, particularly their spending on…
Experimental evidence confirms that AI tools raise worker productivity, but also that sustained use can erode the expertise on which those gains depend. We develop a dynamic model in which a decision-maker chooses AI usage intensity for a…
Recent advances in generative artificial intelligence (AI) are reshaping who enters entrepreneurship, but not who reaches the top of the quality distribution. Using data on over 160,000 product launches on Product Hunt, we find that…
Artificial intelligence algorithms are increasingly used by firms to set prices. Previous research shows that they can exhibit collusive behaviour, but how quickly they can do so has so far remained an open question. I show that a modern…
Despite data's central role in AI production, it remains the least understood input. As AI labs exhaust public data and turn to proprietary sources, with deals reaching hundreds of millions of dollars, research across computer science,…
This paper explores the transformative impact of Generative AI (GenAI) on the business landscape, examining its role in reshaping traditional business models, intensifying market competition, and fostering innovation. By applying the…
It is widely assumed that increases in economic productivity necessarily lead to economic growth. In this paper, it is shown that this is not always the case. An idealized model of an economy is presented in which a new technology allows…
AI stocks trade at extraordinary valuations. We develop an asset pricing model in which investors use AI stocks to hedge against an AI singularity that displaces their consumption. Because markets are incomplete -- investors cannot trade…
Training advanced AI models requires large investments in computational resources, or compute. Yet, as hardware innovation reduces the price of compute and algorithmic advances make its use more efficient, the cost of training an AI model…
If AI displaces human workers faster than the economy can reabsorb them, it risks eroding the very consumer demand firms depend on. We show that knowing this is not enough for firms to stop it. In a competitive task-based model, demand…
Every major AI memory system in production today organises information by meaning. That organisation enables generalisation, analogy, and conceptual retrieval -- but it comes at a price. We prove that the same geometric structure enabling…
This paper develops a theoretical and formal response to the collapse in the marginal cost of ideation caused by artificial intelligence (AI). In challenging the foundational assumption of knowledge scarcity, the paper argues that the key…
Generative artificial intelligence (AI) has begun to reshape academic publishing by enabling the rapid production of submission-ready manuscripts. While such tools promise to enhance productivity, they also raise concerns about overwhelming…
This paper introduces the Structural Dissolution Framework to explain how artificial intelligence restructures the coordination architecture of traditional industries. We argue that AI dissolves the boundaries that once separated firms,…
AI agents are increasingly deployed in ecosystems where they repeatedly interact not only with each other but also with humans. In this work, we study these human-AI ecosystems from a theoretical perspective, focusing on the classical…