TY - JOUR

T1 - Machine learning and social theory

T2 - Collective machine behaviour in algorithmic trading

AU - Borch, Christian

PY - 2021

Y1 - 2021

N2 - This article examines what the rise in machine learning (ML) systems might mean for social theory. Focusing on financial markets, in which algorithmic securities trading founded on ML-based decision-making is gaining traction, I discuss the extent to which established sociological notions remain relevant or demand a reconsideration when applied to an ML context. I argue that ML systems have some capacity for agency and for engaging in forms of collective machine behaviour, in which ML systems interact with other machines. However, ML-based collective machine behaviour is irreducible to human decision-making and thereby challenges established sociological notions of financial markets (including that of embeddedness). I argue that such behaviour can nonetheless be analysed through an adaptation of sociological theories of interaction and collective behaviour.

AB - This article examines what the rise in machine learning (ML) systems might mean for social theory. Focusing on financial markets, in which algorithmic securities trading founded on ML-based decision-making is gaining traction, I discuss the extent to which established sociological notions remain relevant or demand a reconsideration when applied to an ML context. I argue that ML systems have some capacity for agency and for engaging in forms of collective machine behaviour, in which ML systems interact with other machines. However, ML-based collective machine behaviour is irreducible to human decision-making and thereby challenges established sociological notions of financial markets (including that of embeddedness). I argue that such behaviour can nonetheless be analysed through an adaptation of sociological theories of interaction and collective behaviour.

U2 - 10.1177/13684310211056010

DO - 10.1177/13684310211056010

M3 - Journal article

SP - 136843102110560

JO - European Journal of Social Theory

JF - European Journal of Social Theory

SN - 1368-4310

ER -