UCAISM: Intelligent Capitalism and the Third Architecture
Human Sovereignty and the Reconstruction of Political Economy in the Age of Artificial Intelligence
Abstract
Artificial intelligence is transforming capitalism not only by increasing productive capacity but also by restructuring the institutional channels through which individuals acquire information, enter markets, accumulate reputation, make decisions, and exercise economic agency. Conventional debates framed primarily as capitalism versus socialism, market versus state, or growth versus redistribution do not fully capture this transformation. In AI-mediated economies, a central political-economic question increasingly concerns control over the infrastructures of agency: data, identity, reputation, market access, algorithmic intermediation, and artificial-intelligence agents. This paper develops UCAISM, or Intelligent Capitalism, as a sovereignty-centered political-economic framework for the age of artificial intelligence. UCAISM does not propose a conventional Third Way located between capitalism and socialism. It proposes a Third Architecture: a multidimensional institutional design intended to preserve decentralized market discovery, private initiative, and technological innovation while expanding effective Human Sovereignty. The framework begins with an SM-K formulation—Smith, Marx, and Kwag. Smith contributes decentralized exchange and market coordination; Marx highlights concentration and structural power; UCAISM introduces a third question: how should effective sovereignty be distributed when intelligent digital infrastructures increasingly mediate economic action? The framework is situated in relation to Hayek's dispersed knowledge, Rawls's basic structure, Sen's capability approach, Ostrom's polycentric governance, Polanyi's embeddedness, contemporary digital competition policy, and emerging fiduciary-AI research. The paper develops six principal theoretical contributions: the Sovereignty Gap, Distributed Agency, Portable Sovereignty, Universal Basic Sovereignty, Agent-Centric Intelligent Markets, and the Third Architecture. These are implemented through seven institutional pillars encompassing Human Sovereignty, portability, fiduciary agency, basic sovereignty, Growth with Equity and shared value, coopetition, and polycentric deliberative governance. The central proposition is that technological progress should be evaluated not only by productivity, innovation, income, or aggregate welfare, but also by whether institutions leave human beings more capable of forming intentions, pursuing goals, revising choices, challenging consequential decisions, employing trustworthy representatives, moving between systems, and remaining authors of their own lives.
Keywords
UCAISM; Intelligent Capitalism; Human Sovereignty; Artificial Intelligence; Third Architecture; Sovereignty Gap; Distributed Agency; Universal Basic Sovereignty; Fiduciary AI; Portable Sovereignty; Platform Economy; New Enlightenment
Suggested Citation
Version History
Version 1.0 — September 2026. Initial public working-paper release.
Journal Status
Not currently identified on this public record as under journal review.