Abrupt rise of new machine ecology beyond human response time

Neil F Johnson, Guannan Zhao, Eric Hunsader, Hong Qi, Nicholas Johnson, Jing Meng, Brian Tivnan

Research output: Contribution to journalArticle

53 Citations (Scopus)

Abstract

Society's techno-social systems are becoming ever faster and more computer-orientated. However, far from simply generating faster versions of existing behaviour, we show that this speed-up can generate a new behavioural regime as humans lose the ability to intervene in real time. Analyzing millisecond-scale data for the world's largest and most powerful techno-social system, the global financial market, we uncover an abrupt transition to a new all-machine phase characterized by large numbers of subsecond extreme events. The proliferation of these subsecond events shows an intriguing correlation with the onset of the system-wide financial collapse in 2008. Our findings are consistent with an emerging ecology of competitive machines featuring 'crowds' of predatory algorithms, and highlight the need for a new scientific theory of subsecond financial phenomena.

Original languageEnglish (US)
Article number02627
JournalScientific Reports
Volume3
DOIs
StatePublished - Sep 11 2013

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financial market
extreme event
ecology
social system
human ecology
need
world
speed

ASJC Scopus subject areas

  • General

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Johnson, N. F., Zhao, G., Hunsader, E., Qi, H., Johnson, N., Meng, J., & Tivnan, B. (2013). Abrupt rise of new machine ecology beyond human response time. Scientific Reports, 3, [02627]. https://doi.org/10.1038/srep02627

Abrupt rise of new machine ecology beyond human response time. / Johnson, Neil F; Zhao, Guannan; Hunsader, Eric; Qi, Hong; Johnson, Nicholas; Meng, Jing; Tivnan, Brian.

In: Scientific Reports, Vol. 3, 02627, 11.09.2013.

Research output: Contribution to journalArticle

Johnson, NF, Zhao, G, Hunsader, E, Qi, H, Johnson, N, Meng, J & Tivnan, B 2013, 'Abrupt rise of new machine ecology beyond human response time', Scientific Reports, vol. 3, 02627. https://doi.org/10.1038/srep02627
Johnson NF, Zhao G, Hunsader E, Qi H, Johnson N, Meng J et al. Abrupt rise of new machine ecology beyond human response time. Scientific Reports. 2013 Sep 11;3. 02627. https://doi.org/10.1038/srep02627
Johnson, Neil F ; Zhao, Guannan ; Hunsader, Eric ; Qi, Hong ; Johnson, Nicholas ; Meng, Jing ; Tivnan, Brian. / Abrupt rise of new machine ecology beyond human response time. In: Scientific Reports. 2013 ; Vol. 3.
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