Postsocialist Press

Postsocialist Press

AI Barter in a Two-Good Economy Part I

An Open Source AI Simulation Showing How Free Market Exchange Makes Us Better Off

Ason Rand's avatar
Ason Rand
Jun 06, 2025
∙ Paid

Market economics makes life better for everyone by allowing everyone to make life better for themselves. The power of the free market is so pervasive that it's apparent even in the absence of currency. This shouldn't be too shocking, because barter is so natural that it predates written history. A caveman may have had all the pure water he could drink from a subterranean stream in his cave, yet have often hungered for the elusive but sweet taste of meat. Conversely, a hunter may have no shortage of game animals to eat but may find clean water more scarce.

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It probably didn't take too many generations to learn that trying to overpower or kill one another for a desired resource is a bit short-sighted. Even if you manage to get what you want, fighting it out takes time and probably leads to injury when it doesn't kill you. Not only that, but after you've eliminated the competition you now have two tasks instead of just one—you have to gather the water and hunt f…

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