Comment by Aurornis
2 hours ago
> It is hard to overstate the damage that the infinite money being poured into AI is doing to the wider economy
I know it's an unpopular opinion on Hacker News but I think most people are overstating the damage to the economy. Increased demand starts to pull more advancements forward and increase spending on production, which benefits everyone.
Transformer demand is real, but what percentage of your electricity bill do you think goes to spending on those transformers? The number is so small that it's a rounding error. Many examples like this where we see headlines about some part going up in price and forget that it's such a negligible piece of our bill that it barely matters.
The cost of fuel inputs for base generation and peak supply are a bigger factor.
> I know it's an unpopular opinion on Hacker News but I think most people are overstating the damage to the economy.
There are two issues... one being that an economy needs people to buy things to work, and people only can buy things if they have money, and people only have money when they have work - but everyone is laying off people left and right due to "AI".
The other issue is that there's trillions of dollars floating around between all the companies. It is likely that a significant chunk of these will fail and give us another 2007.