• Wallows
    9.2k
    Topic subject: Productivity increases, through technology and possibly AI create a new socio-economic landscape.

    In my economics class, our professor postulated that if productivity increases would saturate, then that would be the end to economics as we know it. Nobody knows when this will happen; but, there are well-defined scenarios that would allow this to happen, such as the advent of Generalized Artificial Intelligence.

    Most Silicon Valley entrepreneurs (such as the presidential candidate Andrew Yang) propose a tax on goods produced by AI to fund Universal Basic Income for families and individuals. Yet, knowing this requires some basic knowledge about economics. Here's the gist of it, productivity increases are fueled by advancements in technology, instilled into the labor force. When a productivity increase happens, deflationary tendencies happen bolstering the purchasing power of the worker. With "more money" (purchasing power) people spend more, and this fuels GDP.

    Therefore, supposedly, when productivity increases saturate, there will be a massive deflationary tendency within the economy. Credit will become redundant, and the whole economy will reach an equilibrium where work is no longer needed. All of this assumes that AI is possible, as AI is the ultimate form of a saturated plateau of productivity increases.

    With this in mind, many people are wondering just what happens next.

    What are your ideas about this, rather pleasant future full of leisure and comfort?
  • Wallows
    9.2k
    Actually, here's something I omitted.

    Tastes and preferences will radically change. Marx epitomized this in saying,

    From each according to his ability, to each according to his needs
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