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From Firms to Computation: AI Governance and the Evolution of Institutions
Michael S. Harre
https://arxiv.org/abs/2507.13616 https://…

From Firms to Computation: AI Governance and the Evolution of Institutions
The integration of agential artificial intelligence into socioeconomic systems requires us to reexamine the evolutionary processes that describe changes in our economic institutions. This article synthesizes three frameworks: multi-level selection theory, Aoki's view of firms as computational processes, and Ostrom's design principles for robust institutions. We develop a framework where selection operates concurrently across organizational levels, firms implement distributed inference via game-…