Prediction Machines

The Simple Economics of Artificial Intelligence

By: Ajay Agrawal, Joshua Gans, Avi Goldfarb

Narrated by: LJ Ganser

"What does AI mean for your business? Read this book to find out." (Hal Varian, Chief Economist, Google)

Artificial intelligence does the seemingly impossible, magically bringing machines to life - driving cars, trading stocks, and teaching children. But facing the sea change that AI will bring can be paralyzing. How should companies set strategies, governments design policies, and people plan their lives for a world so different from what we know? In the face of such uncertainty, many analysts either cower in fear or predict an impossibly sunny future.

But in Prediction Machines, three eminent economists recast the rise of AI as a drop in the cost of prediction. With this single, masterful stroke, they lift the curtain on the AI-is-magic hype and show how basic tools from economics provide clarity about the AI revolution and a basis for action by CEOs, managers, policy makers, investors, and entrepreneurs.

When AI is framed as cheap prediction, its extraordinary potential becomes clear: Prediction is at the heart of making decisions under uncertainty. Our businesses and personal lives are riddled with such decisions. Prediction tools increase productivity - operating machines, handling documents, communicating with customers. Uncertainty constrains strategy. Better prediction creates opportunities for new business structures and strategies to compete.

Penetrating, fun, and always insightful and practical, Prediction Machines follows its inescapable logic to explain how to navigate the changes on the horizon. The impact of AI will be profound, but the economic framework for understanding it is surprisingly simple.

PLEASE NOTE: When you purchase this title, the accompanying PDF will be available in your Audible Library along with the audio.

©2018 Ajay Agrawal, Joshua Gans, Avi Goldfarb (P)2018 Audible, Inc.

Intriguing yet grounded exploration of the present and near-future economic impact of machine-learning.

The authors provide a balanced account of the trade offs inherent in the growth and adoption of machine learning. The book serves as an excellent resource for those wishing to better orient their thinking regarding the immediate economic opportunities and challenges present in the utilization of this promising technology.

easy-to-digest “ML for business practitioners”

The book "Prediction Machines" by Ajay Agrawal , Joshua Gans, and Avi Goldfarb strikes an ideal balance between technical and non-technical aspects, making it accessible to both AI enthusiasts and business practitioners. The authors effectively demystify AI technology, presenting it in an easily digestible manner with a business-oriented perspective. Their goal is to serve as a bridge between AI and business, and they succeed admirably in achieving this objective.

The book delves into the impact of prediction machines on the economy and guides readers through five essential steps: prediction, decision-making, tools, strategy, and society. One highlight is the AI canvas, a valuable tool that aids business owners in understanding how AI can address their specific challenges. Reminiscent of the "Business Model Canvas," this framework adds an AI-specific dimension.

Helpful

This book is a great stepping stone to start learning about the AI and its impact.

An economic perspective on machine learning, written by an economist, using economic examples of human behavior

If you like economic explanations, this is your book, this is not a bad book but as an economist I feel tired of this kind of book

Excellent SWOT analysis of AI

This well narrated book offers a great point and counterpoint of artificial intelligence from a technological and social science perspective that informs and provokes important and relevant thought.