Information algorithms as a factor of economy simulation, increasing risk and unpredictability

The article examines the features of transformation processes in the modern economy, caused by the rapid development of information technologies, which have formed global markets, brought international trade to a new level, ensured the victory of banking capital over industrial capital, transformed the financial sphere into the dominant structure of the modern economy, influenced the virtualization and simulacrumization of capital, the growth of information algorithms in the functioning of various segments of the financial and economic system, and at the same time the loss of society’s ability to control the existing dynamics, which is accompanied by an increase in unpredictability and risk. The role of selfish personal interests in shaping the direction of financial and economic activities, which are coordinated and synchronized by information technologies, is revealed. This transformation localizes processes into global ones, deepening the dependence of all parties involved in these dynamics on the global network. Antagonism is revealed between the functioning of modern civilization, on the one hand, and nature, the normal reproduction of new generations of people, and the possibility of their long-term provision of society with the necessary goods in the volumes necessary to prevent existential threats, on the other. The role of information algorithms in the deployment of exponential processes in the economy is investigated, which is reflected in the steady growth of production of products of short-term beneficial effect, the level of consumption of “disposable” goods, the concentration and centralization of capital, the digitalization of capital, the number of transactions per unit of time, the amount of debt, the depletion of natural resources, the accumulation of pollution, the increase in risk at both the local and global levels. The transfer of an increasingly large share of economic activity into a digital format, along with the gradual increase in the gap between the real economy and its virtual reflection, and the gradual simulacrum of the financial sphere, are analyzed. The significance of the information network in transforming the world economy into a sphere dominated by flows that are continuously scaled, involving an ever-increasing number of participants due to significantly greater opportunities for income generation and significantly lower costs of effort, and resources compared to the sphere of material production, is revealed. The gap between optimistic expectations driven by the exponential growth of the world economy and the increase in risks resulting from such unilaterally positive dynamics, particularly in conditions of limited planetary resource capabilities, is highlighted. Keywords: information algorithms, risk, unpredictability, global interdependence, exponential processes, existential threats, paradigm, balance.