Science 17 July 2015:
Vol. 349
no. 6245
pp.
267-272
DOI:
10.1126/science.aaa8403
Economic reasoning and artificial intelligence
The field of artificial intelligence (AI) strives to build rational agents capable of perceiving the world around them and taking actions to advance specified goals. Put another way, AI researchers aim to construct a synthetic homo economicus, the mythical perfectly rational agent of neoclassical economics. We review progress toward creating this new species of machine, machina economicus, and discuss some challenges in designing AIs that can reason effectively in economic contexts. Supposing that AI succeeds in this quest, or at least comes close enough that it is useful to think about AIs in rationalistic terms, we ask how to design the rules of interaction in multi-agent systems that come to represent an economy of AIs. Theories of normative design from economics may prove more relevant for artificial agents than human agents, with AIs that better respect idealized assumptions of rationality than people, interacting through novel rules and incentive systems quite distinct from those tailored for people.http://www.sciencemag.org/content/349/6245/267.full
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The unintended consequences of rationality
A century of economic theory assumed that, given their available options, humans would always make rational decisions. Economists even had a name for this construct: homo economicus, the economic man.
Have you ever met a human? We’re not always the most rational bunch. More recent economic theory confronts that fact, taking into account the importance of psychology, societal influences and emotion in our decision-making.
So, are the theories that are predicated on homo economicus extinct? David C. Parkes, the George F. Colony Professor and Area Dean of Computer Science at Harvard John A. Paulson School of Engineering and Applied Sciences, doesn’t think so. Humans may not always make rational decisions, but well-conceived algorithms do.
In a paper out today in the journal Science, Parkes and co-author Michael Wellman, of the University of Michigan, argue that rational models of economics can be applied to artificial intelligence (AI) and discuss the future of machina economicus.
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