Autonomous cars have been discussed rather thoroughly recently and at this point it seems a question of when and how rather than if they will become standard. But as this issue starts to settle, new questions about the application of autonomous technology to other types of transportation are becoming ripe for policy debates. While a great deal of attention seems to be focused on the potential revolutionize the trucking and shipping industries, not as much attention has been paid to how automation may help improve both intercity and intracity bus travel or other public and private transit like trains. The recent requests for comment from the Federal Transit Authority show that policymakers are starting to consider these other modes of transit in preparing for their next recommendations for autonomous vehicles. Here are 5 issues that will need to be considered for an autonomous transit system.

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Tesla, Volvo, and Cadillac have all released a vehicle with features that push them beyond the standard level 2 features and nearing a level 3 “self-driving” automation system where the driver is still needs to be there, but the car can do most of the work. While there have been some notable accidents, most of these were tied to driver errors or behavior and not the technology. Still autonomous vehicles hold the promise of potentially reducing traffic accidents by more than 90% if widely adopted. However, fewer accidents and a reduction in the potential for human error in driving could change the function and formulas of the auto insurance market.

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Congress is poised to act on “driverless car” legislation that might help us achieve one of the greatest public health success stories of our lifetime by bringing down the staggering costs associated with car crashes.

The SELF DRIVE Act currently awaiting a vote in the House of Representatives would pre-empt the existing state laws concerning driverless cars and replace these state laws with a federal standard. The law would formalize the existing NHTSA standards for driverless cars and establish their role as the regulator of the design, construction, and performance of this technology. The states would become regulators for driverless cars and its technology in the same way as they are for current driver operated motor vehicles.

It is important we get policy right on this front because motor vehicle accidents result in over 35,000 deaths and over 2 million injuries each year. These numbers continue to rise as more people hit the roads due to lower gas prices and as more distractions while driving emerge. The National Highway Traffic Safety Administration (NHTSA) estimates 94 percent of these crashes are caused by driver error.

Driverless cars provide a potential solution to this tragedy. One study estimated that widespread adoption of such technology would avoid about 28 percent of all motor vehicle accidents and prevent nearly 10,000 deaths each year. This lifesaving technology may be generally available sooner than expected if innovators are allowed to freely develop it.

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The Mercatus Center at George Mason University has just released a new paper on, “Artificial Intelligence and Public Policy,” which I co-authored with Andrea Castillo O’Sullivan and Raymond Russell. This 54-page paper can be downloaded via the Mercatus website, SSRN, or ResearchGate. Here is the abstract:

There is growing interest in the market potential of artificial intelligence (AI) technologies and applications as well as in the potential risks that these technologies might pose. As a result, questions are being raised about the legal and regulatory governance of AI, machine learning, “autonomous” systems, and related robotic and data technologies. Fearing concerns about labor market effects, social inequality, and even physical harm, some have called for precautionary regulations that could have the effect of limiting AI development and deployment. In this paper, we recommend a different policy framework for AI technologies. At this nascent stage of AI technology development, we think a better case can be made for prudence, patience, and a continuing embrace of “permissionless innovation” as it pertains to modern digital technologies. Unless a compelling case can be made that a new invention will bring serious harm to society, innovation should be allowed to continue unabated, and problems, if they develop at all, can be addressed later.

If the techno-pessimists are right and robots are set to take all the jobs, shouldn’t employment in Amazon warehouses be plummeting right now? After all, Amazon’s sorting and fulfillment centers have been automated at a rapid pace, with robotic technologies now being integrated into almost every facet of the process. (Just watch the video below to see it all in action.)

And yet according to this Wall Street Journal story by Laura Stevens, Amazon is looking to immediately fill 50,000 new jobs, which would mean that its U.S. workforce “would swell to around 300,000, compared with 30,000 in 2011.”  According to the article, “Nearly 40,000 of the promised jobs are full-time at the company’s fulfillment centers, including some facilities that will open in the coming months. Most of the remainder are part-time positions available at Amazon’s more than 30 sorting centers.”

How can this be? Shouldn’t the robots have eaten all those jobs by now?

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Whatever you want to call them–autonomous vehicles, driverless cars, automated systems, unmanned systems, connected cars, piloteless vehicles, etc.–the life-saving potential of this new class of technologies has been shown to be potentially enormous. I’ve spent a lot of time researching and writing about these issues, and I have yet to see any study forecast the opposite (i.e., a net loss of lives due to these technologies.) While the estimated life savings vary, the numbers are uniformly positive across the board, and not just in terms of lives saved, but also for reductions in other injuries, property damage, and aggregate social costs associated with vehicular accidents more generally.

To highlight these important and consistent findings, I asked my research assistant Melody Calkins to help me compile a list of recent studies on this issue and summarize the key takeaways of each one regarding at least the potential for lives saved. The studies and findings are listed below in reverse chronological order of publication. I may try to add to this over time, so please feel free to shoot me suggested updates as they become available.

Needless to say, these findings would hopefully have some bearing on public policy toward these technologies. Namely, we should be taking steps to accelerate this transition and removing roadblocks to the driverless car revolution because we could be talking about the biggest public health success story of our lifetime if we get policy right here. Every day matters because each day we delay this transition is another day during which 90 people die in car crashes and more than 6,500 will be injured. And sadly, those numbers are going up, not down. According to the National Highway Traffic Safety Administration (NHTSA), auto crashes and the roadway death toll is climbing for the first time in decades. Meanwhile, the agency estimated that 94 percent of all crashes are attributable to human error. We have the potential to do something about this tragedy, but we have to get public policy right. Delay is not an option.

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I’ve written here before about the problems associated with the “technopanic mentality,” especially when it comes to how technopanics sometimes come to shape public policy decisions and restict important new, life-enriching innovations. As I argued in a recent book, the problem with this sort Chicken Little thinking is that, “living in constant fear of worst-case scenarios—and premising public policy on them—means that best-case scenarios will never come about. When public policy is shaped by precautionary principle reasoning, it poses a serious threat to technological progress, economic entrepreneurialism, social adaptation, and long-run prosperity.”

Perhaps the worst thing about worst-case thinking is how short-sighted and hubristic it can be. The technopanic crowd often has an air of snooty-ness about them in that they ask us to largely ignore the generally positive long-run trends associated with technological innovation and instead focus on hypothetical fears about an uncertain future that apparently only they can foresee. This is the case whether they are predicting the destruction of jobs, economy, lifestyles, or culture. Techno-dystopia lies just around the corner, they say, but the rest of us ignorant sheep who just can’t see it coming!

In his wonderful 2013 book, Smarter Than You Think: How Technology Is Changing Our Minds for the BetterClive Thompson correctly noted that “dystopian predictions are easy to generate” and “doomsaying is emotionally self-protective: if you complain that today’s technology is wrecking the culture, you can tell yourself you’re a gimlet-eyed critic who isn’t hoodwinked by high-tech trends and silly, popular activities like social networking. You seem like someone who has a richer, deeper appreciation for the past and who stands above the triviality of today’s life.”

Stated differently, the doomsayers are guilty of a type of social and technical arrogance. They are almost always wrong on history, wrong on culture, and wrong on facts. Again and again, humans have proven remarkably resilient in the face of technological change and have overcome short-term adversity. Yet, the technopanic pundits are almost never called out for their elitist attitudes later when their prognostications are proven wildly off-base. And even more concerning is the fact that their Chicken Little antics lead them and others to ignore the more serious risks that could exist out there and which are worthy of our attention.

Here’s a nice example of that last point that comes from a silent film made all the way back in 1911! Continue reading →

By Jordan Reimschisel & Adam Thierer

[Originally published on Medium on May 2, 2017.]

Americans have schizophrenic opinions about artificial intelligence (AI) technologies. Ask the average American what they think of AI and they will often respond with a combination of fear, loathing, and dread. Yet, the very same AI applications they claim to be so anxious about are already benefiting their lives in profound ways.

Last week, we posted complementary essays about the growing “technopanic” over artificial intelligence and the potential for that panic to undermine many important life-enriching medical innovations or healthcare-related applications. We were inspired to write those essays after reading the results of a recent poll conducted by Morning Consult, which suggested that the public was very uncomfortable with AI technologies. “A large majority of both Republicans and Democrats believe there should be national and international regulations on artificial intelligence,” the poll found, Of the 2,200 American adults surveyed, the poll revealed that “73 percent of Democrats said there should be U.S. regulations on artificial intelligence, as did 74 percent of Republicans and 65 percent of independents.”

We noted that there were reasons to question the significance of those in light of the binary way in which the questions were asked. Nonetheless, there are clearly some serious concerns among the public about AI and robotics. You see that when you read deeper into the poll results for specific questions and find respondents saying that they are “somewhat” to “very uncomfortable” about a wide range of specific AI applications.

Yet, in each case, Americans are already deriving significant benefits from each of the AI applications they claim to be so uncomfortable with.

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Today, the U.S. Department of Transportation released its eagerly-awaited “Federal Automated Vehicles Policy.” There’s a lot to like about the guidance document, beginning with the agency’s genuine embrace of the potential for highly automated vehicles (HAVs) to revolutionize this sector and save thousands of lives annually in the process.

It is important we get HAV policy right, the DOT notes, because, “35,092 people died on U.S. roadways in 2015 alone” and “94 percent of crashes can be tied to a human choice or error.” (p. 5) HAVs could help us reverse that trend and save thousands of lives and billions in economic costs annually. The agency also documents many other benefits associated with HAVs, such as increasing personal mobility, reducing traffic and pollution, and cutting infrastructure costs.

I will not attempt here to comment on every specific recommendation or guideline suggested in the new DOT guidance document. I could nit-pick about some of the specific recommended guidelines, but I think many of the guidelines are quite reasonable, whether they are related to safety, security, privacy, or state regulatory issues. Other issues need to be addressed and CEI’s Marc Scribner does a nice job documenting some of them is his response to the new guidelines.

Instead of discussing those specific issues today, I want to ask a more fundamental and far-reaching question which I have been writing about in recent papers and essays: Is this guidance or regulation? And what does the use of informal guidance mechanisms like these signal for the future of technological governance more generally? Continue reading →

In previous essays here I have discussed the rise of “global innovation arbitrage” for genetic testing, drones, and the sharing economy. I argued that: “Capital moves like quicksilver around the globe today as investors and entrepreneurs look for more hospitable tax and regulatory environments. The same is increasingly true for innovation. Innovators can, and increasingly will, move to those countries and continents that provide a legal and regulatory environment more hospitable to entrepreneurial activity.” I’ve been working on a longer paper about this with Samuel Hammond, and in doing research on the issue, we keep finding interesting examples of this phenomenon.

The latest example comes from a terrific new essay (“Humans: Unsafe at Any Speed“) about driverless car technology by Wall Street Journal technology columnist L. Gordon Crovitz. He cites some important recent efforts by Ford and Google and he notes that they and other innovators will need to be given more flexible regulatory treatment if we want these life-saving technologies on the road as soon as possible. “The prospect of mass-producing cars without steering wheels or pedals means U.S. regulators will either allow these innovations on American roads or cede to Europe and Asia the testing grounds for self-driving technologies,” Crovitz observes. “By investing in autonomous vehicles, Ford and Google are presuming regulators will have to allow the new technologies, which are developing faster even than optimists imagined when Google started working on self-driving cars in 2009.”  Continue reading →