Algorithms, particularly in the form of artificial intelligence and machine learning, are proliferating in finance and changing how we make decisions. Algorithms have been around for a while in the ...

The original version of this story appeared in Quanta Magazine. Imagine a town with two widget merchants. Customers prefer cheaper widgets, so the merchants must compete to set the lowest price.

Imagine a town with two widget merchants. Customers prefer cheaper widgets, so the merchants must compete to set the lowest price. Unhappy with their meager profits, they meet one night in a ...