If AI Takes All Of Our Jobs... Who's Going To Buy Everything?

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My Other Channel: @howhistoryworks

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#money #automation #career

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Companies have been trying to cut down on workers for as long as those workers have demanded pay and benefits.

Whether it’s downsizing, outsourcing, streamlining, understaffing, or automating, if there is something a business can do to get rid of workers and their salaries, you better believe they are going to do it.

But this time does feel a little bit different. Recent AI advances have been mocked for not quiet living up to the bold claims of their tech bro founders.

But even in their current, imperfect form, LLM’s, general use robots and generative models are ALREADY replacing jobs and they are getting better every day.

So that’s bad for workers, but if you are a senior corporate executive or company owner, maybe you should be asking yourself…

If we automate everybody’s job… who is going to buy all of your stuff?

I have some good news and some bad news for your theoretical company.

The good news is that labor reduction systems of all varieties have ALREADY cut out millions of manhours in America alone and made the workers who are left more efficient at their jobs.

Artificial intelligence is just another tool that your company can use to get more work out of fewer staff or replace teams entirely.

Even here at little old works media group we used to have someone working part time whose job it was just to cut out images on Photoshop to use in our goofy little animations.

Now Adobe Suite has inbuilt AI features which can automatically remove backgrounds from any image with absolutely no human time or skill involved.

Now if you still think that sounds a bit depressing, well welcome to this channel, but also, I should tell you that market trends say this is already happening… AI isn’t going to change YOUR world, it’s just going to continue a trend that’s been happening for years now.

So it’s time to learn How Money Works to find out if how companies are adapting to a world where nobody can afford anything anymore.

[CatsMeowPaw]

Every company will play the race to the bottom game: Our competitors are using AI to reduce costs, so we must do the same. Literally no one is asking who the customer will be if masses are unemployed because the thinking is still 'well, someone else will buy it'

[KoboldAdvocate]

"Sounds like a problem for next quarter" - shareholders and CEOs

[intothebeyond]

CEO's never think that far ahead ....Which is why we keep having financial crises every 10-11 years.

[Skyfalcon]

Elysium is the end-game. All the rich people will have robotic helpers, great healthcare, and beautiful walled gardens of Eden to enjoy. The masses? Well….that’s what the walls are for.

[christophervelez]

“AI will make money meaningless”- random AI bro

[toddanthny]

So basically the system is just going to turn into a circle jerk of rich people scamming each other until theres only 1 ultimate scammer left 😂

[RILDIGITAL]

It's quite concerning to see how AI and automation are reshaping the job market globally. The universal basic income seems like a temporary solution, but for a sustainable future, perhaps we need a broader societal shift that values people beyond their work.

[Trench_]

In 2077 they voted my city the worst place to live in America. Main issues? Sky high rate of violence, and more people living below the poverty line than anywhere else.

[Radials]

The biggest bang for the buck… err how to “maximize shareholder value” would be to replace the entire executive board at any major company with AI.

[saxor]

The thing with the videogame market is that" whales" aren't exactly just a bunch of rich people playing. They're also a lot of people with gambling addiction playing games specifically designed to exploit their weaknesses like an unregulated casino would, and sink them into financial ruin.

[windmonkey]

I’ve been saying this for years now, everything corporate america wants to implement on the general public first gets tested in the video game market. Every terrible business practice I’ve seen pop up in the past 15 years has started out as a terrible business practice that got normalized in the video game market years beforehand.

[danielmalinen]

Here in Finland, people's wages and incomes have not been raised for years and this development (with inflation) can be seen in the current situation where Finland has "Norwegian prices and Romanian wages" which is why daily goods and grocery stores are collapsing soon because customers do not have enough money to pay for the rising prices. And yet some just arrogantly shrug their shoulders and state that "there is no need for supermarkets because farms exist", but they don't understand that life becomes much more difficult if there are no stores to buy daily goods and groceries. And this development started in Finland all the way before AI when Nokia collapsed and drop the Finnish economy with it. But it is also due to political decisions to improve Finland's "competitiveness" in order to attract companies to move their factories and production from Asia to Finland.

[BOSSDONMAN]

The masses are growing increasingly aware to all this, yet the media will gaslight us with, "Why aren't people having kids?!?"

[giangargo]

it's kinda what we are seeing in the car markets all over the world, car manufacturers have basically doubled the price of their products and killed the production of budget friendly vehicles, they are basically catering the more profitable top 10% and everybody else is left on used cars

[rezlogan]

The pricing algorithms are getting increasingly sophisticated too. The reason fast food wants you using the app is so they can set the maximum price consumers are willing to pay. At my local fast food restaurant, I usually order my usual, but lately the cost had gotten too much, so I cut out items from my usual order and stopped visiting for awhile. When I returned, the price had been lowered on the items I removed last time by nearly $2. I think these apps set an individual price for each user and monitors the purchasing data to set the maximum tolerable price per person. I now eat at almost exclusively small restaurants with cash registers and end up saving $10 per meal. Never use the AI pricing apps if you can avoid them.

[WilfNelson]

ok let's play this logic through. You are in the 'owning class', you have five homes and you rent them out. You almost exclusively rent to 'poor' people who cannot afford a home. Those people lost their jobs so they cannot afford to privately rent. This means your income stream just dried up. Additionally most companies can use AI but lots of companies sell products to poorer folks i.e. Coke, MacDonalds, Walmart etc do not focus their products and services on a 1% millionaire class.

Not having a workforce that can afford services just ruins large portions of capitalism. UBI is effectively a lifeline not for the workers but for capitalist states.

[michaelmemory]

“If you think that sounds depressing, then welcome to the channel”

Damn.

[NinjaMan]

The mentality that "New Jobs will always replace the ones lost to Automation" has two big caveats:

1) The new jobs created aren't guaranteed to pay better than the ones eliminated.
2) If you want to keep your job against the pressures of Automation, you lose all negotiating power for pay or work hours. Wage stagnation is inevitable.

[jacksonduruy]

So the future is just a bunch of rich people living on a fully automated space station and everyone else is just in a giant shanty town.

Nice.

[RobotTanuki]

The idea on whales brought my mind to Warhammer. Free-to-play games have free players around to keep whales occupied, so they can use the model of only getting the "richest" to pay.
I think companies like Games Workshop who owns Warhammer wants to go to the same direction, making models prohitively expensive and expect only whales to buy them, but with the game being unaffordable to anyone starting, who will the whales play against?