Work

Human Tax: A Concept Note on Technology-Substitutable Friction Costs

Year: 2026

Type: article

Abstract: This concept note introduces Human Tax: the net incremental cost borne by an organization when humans perform tasks for which a technologically superior alternative exists, after accounting for transition costs and the residual value of human execution. Human Tax is analytically distinct from both transaction costs and agency costs, constituting a third category of organizational friction. This note establishes the formal definition, specifies the construct's scope through a tax-analogy framework (tax base, tax rate, and tax incidence), introduces a four-component measurement typology (speed, accuracy, cost, and consistency differentials), and articulates the boundary conditions under which the construct applies.

Source: Zenodo (CERN European Organization for Nuclear Research)

DOI: 10.5281/zenodo.18973561

Author: KIM, Hakjin

Institution: Korea University of Science and Technology

Language: English

Topic: Outsourcing and Supply Chain Management

Subfield: Management Information Systems

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: green

OpenAlex ID: W7135115017

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