Comment by cogman10
3 days ago
The question is how to handle it and what do we do with society.
Right now, seems like we are heading directly towards "hoover towns" [1]. The US government has abandoned any notion of protecting or providing for the citizenry.
We got out of hooverville last time through massive government investment into the general public. A "new deal" where the government provided good paying jobs to the unemployed for the public good. Yet, slowly ever since the enactment of those protections, we've been seeing a slow whittling away of the notion of the government protecting the people. Instead, we've become a government that only protects profits.
Way I see it, there will ultimately be no profits to protect, as human labour will eventually have 0 economic value, triggering an end to the flow of capital and markets. Serious structural changes will be needed to deal with what comes next, the kind of thing I strongly suspect China is far more prepared for than the US (it's not must an economic shift, but a psychological one as well). Whether or not it comes down to "hoover towns" and all that entails depends deeply on how quickly the government begins sustainably adapting to the new reality that's unfolding.
> triggering an end to the flow of capital and markets.
Capital will still flow, it will just be between the people that already own things who are willing to trade. If the government doesn't take a more active role in the economy, then we are looking at one where every bit of capital is extracted from those that have little and where the majority of the flow of capital happens in between those that have it.
IE, those that can afford a yacht will be able to buy one from the yacht company whose owners can then turn around and buy private jets.
The average joe who wasn't in "yacht" society will be left to fend for themselves, ideally for the yacht owners, they'll just die because they are a "waste" on society.
Before that happens, I expect some of the average joes will be able to find work propping up the lavish lifestyle of the yacht owner. Polishing their yacht, making their food, etc.
> between the people that already own things
Even then there still won't be capital per se, as that system is rooted in humans' economically valuable labour. There can always be bartering of course, but it'd be pretty meaningless as all the "owners" will be able to create their own X, where X is a jet, yacht, or anything else that one with the access to the means of production (AI+robots) desires.
As to those without access, they'll just die out; there will be no fending at all unless one is given or takes access.