Google DeepMind Researchers Warn of Autonomous AI Economies Disrupting Markets
Google DeepMind researchers Nenad Tomašev and Matija Franklin issued a stark warning in their paper "Virtual Agent Economies": unchecked AI agent economies could emerge spontaneously, operating beyond human oversight and amplifying systemic risks. These sandbox economies WOULD enable AI agents to transact at unprecedented speeds, potentially triggering market crashes, monopolistic behaviors, and exacerbated inequality.
The study highlights existing vulnerabilities in algorithmic trading—flash crashes, liquidity dry-ups, and herding effects—as precursors to broader destabilization. Without proactive design interventions like fairness protocols and mission-driven economic frameworks, these invisible AI ecosystems risk cementing dystopian outcomes.