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It's a very interesting perspective to think of "creative destruction" [1] in terms of acceleration/virality coefficients. If the net multiplier coefficient on
by btown 12y ago
It's a very interesting perspective to think of "creative destruction" [1] in terms of acceleration/virality coefficients. If the net multiplier coefficient on jobs per [technological advance/new business based on technology] is below 1, then the economic system is unstable, as it could trend towards long-term unemployment and revolution (if Marx is to be believed). Of course, due to regulation and human nature, it's a damped system - not all jobs will be eliminated.
But if that coefficient is above 1, then the system will stabilize. The relevant question here is how, as technology entrepreneurs, we can both (a) create resilient, scalable businesses that individually have a coefficient above 1, and (b) create resilient, scalable systems that promote the creation of those businesses in (a).
The difficulty is tying these coefficients to the bottom lines of each of these businesses. I'm co-founding a startup now that, without delving into specifics, aims to link the value of its core consumer brand with its ability to generate jobs and income. Time (and lots of effort) will tell whether we can (a) make this successful, and (b) whether it can lead our industry as a whole towards seeing the viability of this trend. But I'm confident that we have a fighting chance to do as much as any single business can to promote the sustainability of human society.
[1] https://en.wikipedia.org/wiki/Creative_destruction#Joseph_Schumpeter https://en.wikipedia.org/wiki/Creative_destruction#Joseph_Sc...