How does AI change the case for markets relative to central planning? Better forecasts help both, but planning more in the model. When AI expands the set of ideas, markets can still gain more because they can use market-generated knowledge not available to planners. It holds when the extra cost per idea and forecast accuracy remain below derived thresholds.
Public Choice
When Does Artificial Intelligence Strengthen the Case for Markets? Revisiting the Socialist Calculation Debate
Journal Article
Reference
Berggren, Niclas (forthcoming). “When Does Artificial Intelligence Strengthen the Case for Markets? Revisiting the Socialist Calculation Debate”. Public Choice. doi.org/10.1007/s11127-026-01487-2
Berggren, Niclas (forthcoming). “When Does Artificial Intelligence Strengthen the Case for Markets? Revisiting the Socialist Calculation Debate”. Public Choice. doi.org/10.1007/s11127-026-01487-2
Author
Niclas Berggren
