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#199 – Nathan Calvin on California’s AI bill SB 1047 and its potential to shape US AI policy

80,000 Hours Podcast

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Market Size Shapes AI Policy Dynamics

Legislators in smaller states may feel that their influence on AI policy is limited, but companies prefer to create uniform products across states. This means that if regulations are too stringent in smaller markets, companies might withdraw their offerings entirely. Conversely, larger markets, such as California, New York, Texas, and Florida, exert significant influence because of their size, which incentivizes companies to engage with local regulations. This market size dynamics plays a crucial role in how AI policy is shaped, highlighting an underappreciated factor that observers often overlook.

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