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AI Economics

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A news-report about the AI economy that fell through a time tunnel from two years in the future.

We probably could have figured this out sooner if we just asked how much money machines spend on discretionary goods. (Hint: it’s zero.)

AI capabilities improved, companies needed fewer workers, white collar layoffs increased, displaced workers spent less, margin pressure pushed firms to invest more in AI, AI capabilities improved…

It was a negative feedback loop with no natural brake
.

Fake-news, obviously. It's from the future. Just a story. A scenario. Interesting possible way the bubble could pop even if the claimed efficiency gains are real.

https://www.citriniresearch.com/p/2028gic

#ai #economics #notMyGDP

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re: AI Economics

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Subscriptions and memberships that passively renewed despite months of disuse. Introductory pricing that sneakily doubled after the trial period. Each one was rebranded as a hostage situation that agents could negotiate. The average customer lifetime value, the metric the entire subscription economy was built on, distinctly declined.

...

Any category where the service provider’s value proposition was ultimately “I will navigate complexity that you find tedious” was disrupted, as the agents found nothing tedious.

😆 Disenshitification by AI would be quite a reversal of the current trends.

[...Door-dash is disintermediated by AI...]

This was oddly poetic, as perhaps the only example in this entire saga of agents doing a favor for the soon-to-be-displaced white collar workers. When they ended up as delivery drivers, at least half their earnings weren’t going to Uber and DoorDash. Of course, this favor from technology didn’t last for long as autonomous vehicles proliferated.

😆

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re: AI Economics

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😆

You say non-cyclical but then still draw a circle.

Feedback loops can be dampening or not though of course, that's the difference really.

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