One interesting factor is the deflationary impact of AI and robotics, and its effect on GDP. A $10,000 robot doing what formerly required three workers at $70k per worker, makes output very cheap. Cheap things mean the economy declines in dollars. People’s standard of living will explode but actual GDP will decline. Need a new measure!
Real GDP is calculated with renormalised prices so if all prices in the economy dropped by 10x tomorrow and output of all goods grew by 25%, then real GDP would still record 25% growth.
Will it? Affording food, rent, and healthcare is more important than automating bureaucracy and automating production of goods you can no longer afford (and most of which are crappy gadgets you don't need anyway). All this "progress" has only made us society more isolated, more lonely, more depressed, more addicted, and less fertile and social
> The view in San Francisco is that AI will far exceed the pace and depth of change in all previous technological revolutions.
The said the same shit, with the same confidence for every technology they hyped, hit a market peak, and was forgotten after a few years
Agree -- important to think for ourselves and decide when it might be right/wrong!
One interesting factor is the deflationary impact of AI and robotics, and its effect on GDP. A $10,000 robot doing what formerly required three workers at $70k per worker, makes output very cheap. Cheap things mean the economy declines in dollars. People’s standard of living will explode but actual GDP will decline. Need a new measure!
Real GDP is calculated with renormalised prices so if all prices in the economy dropped by 10x tomorrow and output of all goods grew by 25%, then real GDP would still record 25% growth.
>People’s standard of living will explode
Will it? Affording food, rent, and healthcare is more important than automating bureaucracy and automating production of goods you can no longer afford (and most of which are crappy gadgets you don't need anyway). All this "progress" has only made us society more isolated, more lonely, more depressed, more addicted, and less fertile and social