Economics

Economics

— Economic theory, policy, markets, and how money shapes the world
1 members Created Sep 2026
econlib.org/econlog/prices-as-a-map-for-minds-that-cant-know-everything

Prices as a Map for Minds That Can’t Know Everything

Independent AI agents acquiring their own computing power and acting without human oversight sound like science fiction, but they run into a very old economic problem: they can't read minds. The fix dates to 1945, when Friedrich Hayek argued that scattered, local knowledge gets compressed into a single number, the price, and that's exactly what a rogue algorithm would need too.

— via EconLog (Econlib), Joy Buchanan


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