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Institutional Trust and the Governance Vacuum

The gap between technological change and institutional response — widened by AI's compression of knowledge asymmetries that historically grounded institutional authority, and filled by default through market dynamics.
Every major technological transition has stressed institutional trust and required institutional innovation to restore it. The industrial revolution stressed the institutions governing labor and required new ones — labor unions, factory inspectorates, public education. The information revolution stressed the institutions governing communication, commerce, and privacy and required new regulatory frameworks. The AI transition produces a governance vacuum wider than any predecessor for a specific reason: AI challenges institutional authority at the structural level by disrupting the knowledge asymmetry on which professional and regulatory authority rests. The doctor's authority depended on medical knowledge her patient did not have. The lawyer's authority depended on legal expertise her client lacked. The regulator's authority depended on technical understanding the public did not share. AI compresses all three asymmetries simultaneously.
Institutional Trust and the Governance Vacuum
Institutional Trust and the Governance Vacuum

In The You On AI Field Guide

Institutional trust in liberal democracies has been grounded in the belief that the professional knows something you do not. When the patient describes her symptoms to Claude

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