The United States: The High-Variance Bet

📊 Full opportunity report: The United States: The High-Variance Bet on ThorstenMeyerAI.com — validation score, market gap, and execution plan.

TL;DR

The United States is deliberately minimizing federal regulation of AI and social safety nets, relying on market forces and local initiatives. This high-variance approach aims to foster innovation but leaves gaps in national policy.

The United States is actively pursuing a strategy of minimal federal regulation for artificial intelligence and social safety nets, aiming to maximize innovation and economic growth. This approach involves blocking state-level AI laws and reducing oversight, contrasting sharply with European and Nordic models. The strategy is driven by a belief that fostering market dynamism will produce the greatest wealth and technological advancement, which will ultimately benefit broader society.

The Biden administration has taken steps since January 2025 to revoke previous AI oversight policies and promote a pro-innovation stance, including executive orders that challenge state regulations and push for federal preemption of state AI laws. By March 2026, the White House had formally asked Congress to preempt state AI regulations entirely. This federal posture is complemented by a minimal social safety net; the Earned Income Tax Credit (EITC) remains the primary federal support, but it is heavily work-dependent and offers little aid to adults without children. Meanwhile, local governments have initiated over 150 guaranteed-income pilots, such as Stockton’s $500 monthly payments, but these are unscaled and rely on philanthropy and city budgets rather than federal programs. The overall pattern is a deliberate federal void filled by local experimentation and private ownership, with the government actively resisting regulation and oversight.

The United States: The High-Variance Bet · Post-Labor Atlas Phase 2 · Day 6/12
Post-Labor Atlas · Phase 2 · Day 6 / 12 ThorstenMeyerAI.com · The Response
The Response · Day 6 · United States

The High-Variance Bet

The country building the disruption made the most distinctive choice of all: bet on the dynamism, regulate it least — even block others from regulating it — and tie the floor to work. The thinnest row on the map.

01 Signature — a federal void, filled from below
▲ Federal — clear the path
Revoked prior AI oversight EO (Jan 2025) “AI dominance” Action Plan (Jul 2025) DOJ task force vs state AI laws (Jan 2026) push to preempt state rules floor tied to work (EITC)
↕   the federal void   ↕
▲ Local — fill the void
150+ city guaranteed-income pilots Stockton SEED · $500/mo Cook County · $500/mo made permanent (2026) philanthropic + city-budget no federal scale
The response is underway — bottom-up and patchy — while the center deregulates and moves to block the states.
02 The US five-lever profile — the sparest on the map
Income floor
minimal
EITC is real but entirely work-gated — near-zero for childless adults. No UBI; guaranteed income only in local pilots.
Capital & ownership
minimal
No state fund or dividend — the bet is private markets (401ks, retail) + nascent “Trump accounts”; equity ownership is concentrated.
Work & time
minimal
The most flexible labour market in the rich world — at-will, no job guarantee, no short-time-work scheme.
Skills & transition
partial
Community colleges + federal workforce programs — fragmented and modestly funded.
Institutions
minimal
Actively deregulatory — moving to preempt even state AI laws. The most market-led stance on the map.
03 The wager, in numbers
~$660 vs $8,231
EITC max for a childless worker vs a worker with 3+ kids (2026) — the floor is generous for working families, near-zero for childless adults.
150+ cities
running guaranteed-income pilots (Cook County made $500/mo permanent, 2026) — the floor improvised locally, no federal program.
preempt the states
a DOJ AI Litigation Task Force (2026) + a push to bar state AI laws — Washington isn’t light-touch; it’s moving to prevent regulation.
Sources: IRS / Center on Budget & Policy Priorities & Tax Policy Center (EITC); Mayors for a Guaranteed Income, Cook County (pilots); White House EOs & National Policy Framework (federal AI posture) · figures indicative, mid-2026.
04 The Response Matrix — row 5 of 10
Jurisdiction
Income floor
Capital
Work & time
Skills
Institutions
European Union
strong*
minimal
strong
strong
strong
The Nordics
strong
partial
partial
strong
strong
United Kingdom
partial
minimal
partial
partial
partial
Canada
partial
minimal
partial
partial
minimal
United States
minimal
minimal
minimal
partial
minimal
The Gulf
·
·
·
·
·
Singapore
·
·
·
·
·
China
·
·
·
·
·
India
·
·
·
·
·
Brazil
·
·
·
·
·
solid = pulled hard · outline = partial · grey = barely used · the market-led pole: minimal almost everywhere — bet on the engine, not the airbag. Highest upside, thinnest backstop.

Independent commentary, produced with AI assistance under human editorial oversight. The views are the author’s own and may change. This is analysis, not policy, economic, investment, or legal advice. Descriptions of US federal AI executive actions, the EITC, “Trump accounts,” and municipal guaranteed-income pilots reflect publicly reported information as of mid-2026 and may change as litigation and legislation evolve. This phase maps differing approaches and endorses none; characterizations of contested policies present competing views, not a verdict, and references to specific administrations and programs are factual and analytical, not partisan. Country and program names are referenced for analysis and imply no affiliation.

ThorstenMeyerAI.com · Post-Labor Transition Atlas · Phase 2 · Day 6 of 12 · © 2026 Thorsten Meyer

Implications of the US’s Deregulation and Local Experiments

This strategy underscores a fundamental shift in American policy: prioritizing innovation and private ownership over federal regulation and comprehensive social safety nets. It aims to position the US as a global leader in AI and technological development, but it also risks creating a patchwork of protections and support systems that vary widely across regions. The approach could influence international competition and reshape social safety policies, but it also raises questions about equity, stability, and the ability of the federal government to manage emerging risks associated with rapid technological change.

Why and How to Create Effective AI Prompts for Regulatory Compliance: Governing AI Interaction in Financial Institutions (Responsible Regulatory Compliance)

Why and How to Create Effective AI Prompts for Regulatory Compliance: Governing AI Interaction in Financial Institutions (Responsible Regulatory Compliance)

As an affiliate, we earn on qualifying purchases.

As an affiliate, we earn on qualifying purchases.

Background of US AI and Social Policy Strategy

Historically, the US has favored market-led innovation, with minimal regulation compared to European and Nordic countries, which implement more comprehensive social safety nets and regulatory frameworks. Recent policies reflect this tradition: in early 2025, the Biden administration shifted from oversight to promoting AI leadership through deregulation, culminating in efforts to block state-level AI laws. Meanwhile, social safety nets like the EITC are limited and heavily tied to employment, and federal programs for income support remain modest. Local governments, however, have stepped in with pilot programs for guaranteed income, creating a decentralized patchwork that contrasts with the federal government’s minimal role. This approach is rooted in the belief that fostering a dynamic, deregulated economy will generate the wealth necessary to eventually address social issues indirectly.

“Our goal is to maintain American leadership in AI by removing unnecessary barriers and fostering a competitive environment.”

— White House spokesperson

The Feasibility of Citizen's Income (Exploring the Basic Income Guarantee)

The Feasibility of Citizen's Income (Exploring the Basic Income Guarantee)

As an affiliate, we earn on qualifying purchases.

As an affiliate, we earn on qualifying purchases.

Uncertainties Surrounding the US Deregulation Strategy

It remains unclear how sustainable this high-variance approach is over the long term, especially regarding social safety and managing AI risks. The effectiveness of local guaranteed-income pilots and whether they can be scaled remains uncertain. Additionally, the potential for federal or state pushback, legal challenges, or unforeseen technological risks could alter the current trajectory. The impact of this approach on economic inequality and social stability is also still being evaluated.

Private AI: Run Claude Code Locally with Ollama — A Hands-On Guide (The Practical AI Series Book 2)

Private AI: Run Claude Code Locally with Ollama — A Hands-On Guide (The Practical AI Series Book 2)

As an affiliate, we earn on qualifying purchases.

As an affiliate, we earn on qualifying purchases.

Future Developments and Policy Trajectories to Watch

Monitoring will focus on whether the US Congress acts to preempt more state AI laws and whether federal efforts to block regulation intensify. The expansion or scaling of local guaranteed-income pilots and their integration into broader social policy will also be key indicators. Additionally, developments in AI safety regulation and international responses to the US’s deregulation stance could significantly influence the country’s technological and social future.

Amazon

federally unregulated AI safety products

As an affiliate, we earn on qualifying purchases.

As an affiliate, we earn on qualifying purchases.

Key Questions

Why is the US avoiding regulation of AI?

The US believes that minimal regulation will foster innovation, economic growth, and global leadership in AI, trusting that market forces will manage risks and create wealth.

What are the main social safety nets in the US under this strategy?

The primary federal safety net is the Earned Income Tax Credit (EITC), which is work-dependent and offers limited support to adults without children. Local guaranteed-income pilots supplement this but are not scaled nationally.

Could this approach lead to increased inequality?

Yes, the reliance on market-driven growth and localized safety nets could widen disparities, especially if technological disruption is not accompanied by more comprehensive federal protections.

How might other countries respond to the US’s deregulation approach?

Countries may either follow suit, emphasizing deregulation to compete for AI leadership, or strengthen their own regulatory frameworks to address social and safety concerns.

Source: ThorstenMeyerAI.com

You May Also Like

The Co-Founder’s Black Hole — A Structural Read on Jack Clark’s Automated AI R&D Essay

Anthropic co-founder Jack Clark predicts over 60% chance of fully automated AI research by 2028, raising concerns about institutional capacity and future risks.

Understanding Anthropic’s $965B Series H: The Compute Revolution

Anthropic’s latest funding round signals a major shift towards infrastructure, with $965 billion valuation focused on hardware capacity for AI scaling.

EuroHPC. The compute substrate.

Analysis of EuroHPC’s compute substrate, its current capabilities, structural challenges, and implications for Europe’s AI ambitions amid ongoing projects and investments.

Customer service + BPO. The operational-scale displacement.

Empirical evidence shows that 8 million workers in India and the Philippines are facing broad AI-driven displacement, leading to a hybrid operational model.