AI-Driven Substitution, the Erosion of Labor Share, and the Platfrom Macroeconomics of Ecosystem Sustainability
This post investigates the existential macroeconomic divergence facing the multi-sided platform model in the era of Generative Artificial Intelligence (GenAI). Historically, platforms have acted as “efficiency engines,” reducing transaction costs and subsidizing innovation for human producers. However, the emergence of AI as a primary agent of production forces a structural reckoning that plays out differently across the two dominant…
