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Today, thanks to Application Programming Interfaces (APIs), diverse software can communicate with each other.

API Economies and the Modularization of Production

The dozens of apps on your phone can communicate with each other thanks to Application Programming Interfaces (APIs), which revolutionized software beginning in the year 2000. What are the economic ramifications of modularized production, where add-ons and expansions abound?...
4 min read
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Saddique Ansari • February 04, 2019 • 1 min read

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PRICE LEVEL C I G X M AD
200 300 50 100 50 450 50
180 320 60 105 100 425 160
160 340 70 110 150 400 270
140 360 80 115 200 375 380
120 380 90 120 250 350 490
100 400 100 125 300 325 600
80 420 110 130 350 300 719
60 440 120 135 400 275 820

 


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AI can work much faster than human employees, but rates of AI hallucinations and other errors remain significant.

The Economics of AI Hallucinations and Error Costs

AI can be great, but "AI hallucinations" are frequent when AI software attempts to plug in data holes with information that it creates. This can include "ghost citations" of false sources of information. What will firms do to limit the dangers of AI error?...
4 min read

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