When AI Can Make “Perfect Decisions”: Why Dynamic Contracts Are the Real Safety Layer
The “Perfect Decision” Trap We’re entering the era where AI doesn’t just answer questions — it selects actions. Supply chain routing. Credit risk. Fraud detection. Treatment planning. Portfolio optimisation. The pitch is always the same: “Give the model data and objectives, and it will find the best move.” And in a narrow, mathematical sense, it can. But here’s the catch: optimisation is a superpower and a liability. Because if a system can optimise perfectly, it can also optimise […]