Comment by andy_ppp

3 months ago

Will the AI bubble last until 2028? I’m still unclear how AI will return even 10% of this investment in profit.

9 comments

andy_ppp

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citrin_ru  3 months ago

Depending on the future you predict 10% may be a good ROI - if AI will replace humans and traditional economy will collapse all other investments will loos value even more. In such scenario you cannot save the money you only can loose less if you will make a right investment.

  • adrianN  3 months ago

    I'm not sure I understand why the economy would collapse if AI replaced humans. Wouldn't the companies just make more profit because they save labor costs and stonks go up?

    • netdevphoenix  3 months ago

      The economy is a macrosystem. For a company to make profit, someone needs to buy. For someone to buy a service or a product, they need to have the money needed to buy. If AI replaces humans and UBI doesn't happen, costs might drop to near zero but so will revenue as virtually no one will be able to buy anything. So the economy will certainly collapse.

      4 replies →

    • citrin_ru  3 months ago

      Economy is a fine tuned system with lots of interdependent parts, any sadden change can have destructive effects. If many people will loose jobs at least two things will happen: 1. they'll stop buying products and services (may be except food), companies who provide these products and services will layoff employees even if their employees are not yet replaced by AI 2. people who lost jobs will default on mortgages causing financial crisis worse than 2008 one. UBI and wealth taxes will mitigate effects to some extent but it looks like political elites across the spectrum are controlled by wealthy people - even left of the center politicians prefer to tax middle class steering away from taxing the rich (both people and companies) more.