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This one is easy. The new consumers will be capital holders, not wage holders as the bottleneck to production becomes energy, resources, land, capital, etc rath
by throw234234234 1y ago
This one is easy. The new consumers will be capital holders, not wage holders as the bottleneck to production becomes energy, resources, land, capital, etc rather than labor. Capitalism rewards scarcity and inefficiency/bottlenecks via a higher price per unit (i.e. higher profits), the efficient at a macro level get optimized away -> value delivered can be negative correlated to price as supply overwhelms demand. You can see it already happening in economic statistics and if you think hard in general experience comparing to previous decades (e.g. previously it was the personal computer that was seen as the big market, now it is SaaS, B2B and high net work individuals). There are whole reports, and market commentary on this trend - it is a result of wealth inequality and firms trying to sell to the people that are left with capital and scarce required desired resources - this has been happening outside of the AI space as well. Rich people as a market size compared to others has only been growing, and AI should accelerate this trend.
Its a big reason why there is a decent possibility that AI is dystopian for the majority of poor to upper middle class people. There will still be a market for things that are scarce (i.e. not labor) but the other factors of productions such as land, resources, capital, etc. People derive more income/wealth from these will win in an AI world, people who rely on their skills/intelligence/etc will lose. Even with abundance; there's no reason to think you will have a share of that.