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Industrial Policy for AI · Technical Reference

Industrial Policy for AI

AI-related productive capacity depends on more than model development. Infrastructure, access, investment, skills, diffusion, competition, resilience, measurement, and governance create separate questions that institutions can evaluate without assuming a preferred political or fiscal outcome.

Why it matters: Policy analysis becomes harder to audit when infrastructure, investment, adoption, regulation, labour transition, and economic outcomes are collapsed into one label or when technical feasibility is treated as proof of public benefit.

§1 — Technical Domain

AI industrial-policy analysis begins by separating distinct institutional questions.

Industrial Policy for AI organizes distinct questions concerning compute and enabling infrastructure, public and private investment, innovation and diffusion, skills and workforce transition, competition and market structure, resilience and security, measurement and evaluation, and regulatory boundaries. It does not treat every AI law, subsidy, national strategy, labour measure, or infrastructure program as one policy model.

§2 — Capability Family

One Phase 1 capability, bounded within a broader policy vocabulary.

Capability

Process Liquidity

Process Liquidity is an LJP-defined analytical frame for examining potential task and process reconfiguration. It distinguishes adaptability from cash or market liquidity, potential automation from actual adoption, technical feasibility from economic desirability, task reallocation from job elimination, and empirical evidence from policy recommendation.

processliquidity.com
§3 — How the Capabilities Relate

A broad policy frame and one narrower analytical capability.

Industrial Policy for AI organizes the broader public-policy environment around productive capacity and economic transition. Process Liquidity isolates a narrower organizational question about how tasks and operating processes may be reconfigured as technology and operating conditions change. The relationship is analytical, not hierarchical, causal, or prescriptive.

§4 — Standards and Authority

Sources for the technical and regulatory terminology.

The OECD Recommendation on Artificial Intelligence supplies direct institutional authority for trustworthy AI principles and national-policy considerations. OECD compute work and European Commission materials provide supporting context for infrastructure, investment, skills, adoption, resilience, and measurement. None defines the LJP package or endorses LJP.

Primary authority ↗

Recommendation of the Council on Artificial Intelligence

Organisation for Economic Co-operation and Development · OECD/LEGAL/0449

Supports trustworthy AI, inclusive growth, enabling ecosystems, human capacity, labour-market transition, and evidence-based measurement.

Official OECD legal instrument adopted May 22, 2019

Does not define Industrial Policy for AI, AI Policy Economy, or Process Liquidity and does not endorse LJP.

Supporting source ↗

A Blueprint for Building National Compute Capacity for Artificial Intelligence

Organisation for Economic Co-operation and Development · OECD Digital Economy Papers No. 350; DSTI/CDEP/AIGO(2022)2/FINAL

Supports national AI compute capacity, infrastructure access, skills, policy planning, resilience, sovereignty, and measurement context.

Official OECD policy paper dated June 12, 2023

Addresses national compute capacity and does not define the complete LJP package architecture.

Supporting source ↗

AI Continent Action Plan

European Commission · Shaping Europe’s digital future fact page

Provides EU policy context for computing infrastructure, investment, data, skills, adoption, sovereignty, security, and implementation support.

Official European Commission policy page updated May 7, 2025

Describes EU policy; it does not define industrial policy generally, make the AI Act synonymous with industrial policy, or endorse LJP.

§5 — Operational Problem

Policy evidence loses meaning when unlike questions are collapsed.

AI policy discussions can combine unlike evidence, jurisdictions, institutional mandates, time horizons, and outcome measures. That can obscure what a source actually supports and turn descriptive evidence into an unstated recommendation.

§6 — Evaluation Path

Move from a defined question to institution-controlled evaluation.

Question framing

Define the policy or institutional question and relevant jurisdiction.

Evidence separation

Separate infrastructure, investment, skills, market, resilience, and governance evidence.

Boundary review

Identify source authority, uncertainty, affected stakeholders, and competing outcomes.

Institutional decision

Reserve recommendations, legal interpretation, and implementation choices for the responsible institution.

§7 — LJP Foundation

A public vocabulary without a prescribed policy model.

A source-backed public vocabulary that separates policy questions, identifies evidence roles, and preserves institutional and legal boundaries without recommending legislation, taxation, subsidies, regulation, labour policy, or government expenditure.

industrialpolicy.ai is the canonical public package namespace. It organizes the Phase 1 policy vocabulary and links Process Liquidity as a narrower analytical capability; it is not a government program, advocacy platform, or claim of policy consensus.

§8 — Resources and Credibility Boundary

Public technical resources with explicit limits.

This site provides public definitions, relationships, source context, and an evaluation structure. It does not provide legal, tax, economic, labour, investment, accounting, or public-policy advice and does not prescribe legislation, regulation, subsidies, taxation, labour policy, or government expenditure. Buyers and institutions retain authority over analysis, policy design, implementation, and legal interpretation. Publication does not establish consensus, adoption, effectiveness, or institutional recognition of LJP-defined terms. LJP is not affiliated with or endorsed by the OECD, European Commission, Federal Reserve Board, ILO, or any other cited institution.

The package organization is an LJP editorial construct. External sources explain their own terminology and do not endorse LJP, its namespaces, or a commercial evaluation.

Evaluate AI policy questions with explicit source boundaries.

Use the public vocabulary to frame a controlled, institution-specific evaluation without treating the site as advice or advocacy.

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