China has a proprietary advantage in artificial intelligence innovation.

Oct 10
One of the main tenets of the liberal world is that freedom provides an advantage in disruptive technologies, but the old wager that the liberal world will always be in the lead in cutting-edge technologies is no longer valid.

Closed societies can make for more effective followers. They could be better at copying and stealing than their more promiscuous rivals, but they will never be able to create because they lack the essential elements of freedom of speech and exchange. This is significant from an economic and military standpoint.
It is reassuring to believe that all wonderful things work out for the best. What is it? We have a great opportunity to put this theory to the test with the advent of artificial intelligence. With the potential to completely transform our way of life, artificial intelligence (AI) is arguably the most significant technical advancement in recent memory.

Additionally, Race II between China and the US is comparable to the space race between the USSR and the US during the Eisenhower-Kennedy era. Who will triumph is a crucial question for geopolitics, both in terms of its sentiment and military strategy.

Yuchtman and three of his coworkers—Martin Beraha, Andrew Kao, and David Yang—investigate sophisticated data on AI companies that received contracts for facial technology and the subsequent mid-social waves of procurement across China beginning in the 2010s. They conduct a regression analysis, as economists do, and discover a favorable correlation between the repression of dissent and advancements in artificial intelligence.

Local turmoil prompts the government to buy more artificial intelligence for people, and more government purchases quell the conflict. In both the government and commercial markets, businesses that are awarded these contracts innovate more than their rivals.
"Stable equilibrium," as Yuchtman and his coworkers refer to it, is the idea of a self-reinforcing cycle of autocracy and innovation. Autocracy in its forms is not undermined by innovation; on the contrary, innovation reinforces the autocracy. Innovative technology makes it easier for authoritarian governments to wield their control, contradicting the great prophet of the virtues of free society, Karl Popper.

This is not to suggest that autocracy is free; rather, it is to say that Xi Jinping's readiness to subordinate businessmen like Alibaba's Jack Ma is free, depriving frontier enterprises of star potential and that this proves that the drawbacks of autocracy exceed their positives.

In exchange for government employment, AI businesses frequently obtain access to high-quality video data, such as video feeds of faces from various angles and perhaps even photos of names and people.

They can then utilize this access to refine their algorithms and put them to use in the business world, allowing retailers to follow customers as they navigate stores and anticipate their purchasing decisions, for instance. Innovation is being fueled by countries' disregard for privacy.

With AI, managers can simply exercise control and surveillance while bringing together employees, customers, and citizens to examine different data views. This benefits authoritarian governments as well as authoritarian tendencies inside democratic governments.

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