kaal:claim:6421319-002

Monetary policy instruments become ceremonial under AI driven production, because central banks inject liquidity on schedules calibrated for scarcity economies while production compounds exponentially and money supply grows only linearly.

Central banks inject liquidity on schedules calibrated for scarcity economies—quarterly adjustments, annual targets, multi-year policy frameworks. Against AI production scaling, these instruments become ceremonial.

Wulf A. Kaal, The Collapse of Scarcity Economics (2026), I.A. The Supersonic Metaphor and Its Analytical Precision, p. 4
https://ssrn.com/abstract=6421319 · source PDF

Wulf A. Kaal, The Collapse of Scarcity Economics (2026). SSRN: https://ssrn.com/abstract=6421319

• holds where AI production scales exponentially
• holds for central bank toolkits calibrated to constrained labor and limited output

mechanismsupport: arguedfailure: Ceremonial Monetary Instrumentsfamily: rule-obsolescence-and-ossificationtokenomicssystemic-riskinstitutional-design

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