New Books in Economics

Darryl Campbell, "Fatal Abstraction: Why the Managerial Class Loses Control of Software" (W. W. Norton, 2025)

May 10, 2025
Darryl Campbell, author of "Fatal Abstraction" and former tech employee at Amazon and Uber, dives into the dangers of managerialism in tech. He critiques how the focus on short-term profits compromises product safety and ethical standards, using alarming examples like the Boeing 737 MAX. Campbell advocates for empowering engineers over financially driven managerial decisions, while also unpacking the misconceptions surrounding AI. He emphasizes a need for transparency in corporate communication and the role of whistleblowers in fostering an ethical culture.
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ANECDOTE

Boeing 737 MAX Tragedy

  • The Boeing 737 MAX crashes exemplify management decisions prioritizing cost-cutting over safety.
  • Software errors and outsourced production under MBAs led to fatal outcomes with no technical oversight.
INSIGHT

Financial Motives vs Ethics at Facebook

  • Facebook's ad tools were repurposed by Cambridge Analytica for covert political manipulation.
  • Financial incentives trump ethical concerns, allowing disinformation to flourish unchecked on platforms.
INSIGHT

MBA Model Fails Software World

  • MBA managerial methods excel in industrial contexts but mismatch the fast, intangible world of software.
  • Software lacks physical and regulatory constraints, outpacing traditional management's ability to ensure safety.
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