The coevolution of technology, markets, and culture: the challenging case of AI

Abstract

Artificial intelligence (AI) is at the center of economic, social, political, and ethical debate. For the first time in human history, since the appearance of writing, a new type of “intelligence” is impacting the very nature of social relationships. New technologies are not only changing the operating model of markets and value chains in an accelerated way but also in how information is generated and processed, how labor, social relations, and culture evolve, etc. In this paper, we pursue two main goals. First, to set up an analytical framework in which cognitive, technical, and cultural dynamics are intertwined with the processes of deployment of economic action. Secondly, we utilize this framework to explore some key features and challenges of AI and its impact on coevolutionary processes at the cognitive, market, and cultural levels. We devote special attention to the consequences that AI may have for the concept of (economic) rationality and the formation of action plans. We conclude that AI will massively enhance agents’ spaces of action by improving efficiency and exploring new possibilities. However, AI will not change the nature of human action and the structure of the evolution of the economic system.