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charliebwrites | 1 month ago

My hot take: We’re already in a recession.

We just use AI to justify doing all the same recession behaviors while making it sound like innovation

- not hiring this year > AI is making us productive!

- no wage growth > AI means we don’t need to raise salaries

- layoffs > with AI we can do more with less people

- spending less on offsites, work perks etc > we really need that budget for AI

- not spending money on that new business tool > AI can do it instead

discuss

order

candiddevmike|1 month ago

My hotter take: we're in an economic death spiral. There isn't enough juice that can be squeezed short of mass wealth redistribution to reinvigorate the economy, and what is out there is locked up in stocks that don't translate to revenue. Slashing rates will just skyrocket prices and over inflate our monetary supply, and further tax cuts will only whittle away what's left of government services and social safety nets. Companies are going to start collapsing in a domino effect as liquidity dries up and contracts get cut.

hmmokidk|1 month ago

Massive wealth redistribution is just another word for Taxes.

When we taxed the rich we were happy. It’s literally all we gotta do.

FireBeyond|1 month ago

Yeah, there's absolutely a reason that we're not releasing a lot of key economic numbers and it's not because the government needs to clean house of people determined to sabotage things, and it's not because the numbers are so amazing that we have the "best economy the country has ever seen", either.

NickC25|1 month ago

this needs to be shouted from the rooftops. something drastic needs to happen or else we will be the harbinger of a large-scale societal collapse.

saubeidl|1 month ago

My even hotter take: This was always the inevitable result of shareholder capitalism.

The only outcomes left are either unchecked descent into fascism as oligarchs consolidate power and finish their government takeover before their current power base falls apart, or a successful socialist revolution.

This is what it's always been leading to.

hombre_fatal|1 month ago

I think that's mostly just HNers assuming AI like Claude Code is already penetrating the day to day work of the workforce.

"If I use, then everyone is probably using it".

Yet AI penetration is so low right now that it probably has zero role in the job market.

And it keeps us distracted from talking about the real reasons behind job opening decline.

That said, once AI ubiquity picks up within the next few years, we'll have all of the existing problems we're not talking about... plus AI. And we'll probably be even less capable of talking about the complexities of the market intelligently.

woooooo|1 month ago

I think parent comment was talking about hype vs reality rather than disagreeing with you.

"We're not hiring but AI is in the news" = "We're not hiring because of AI! Don't sell our stock!" It's independent of actual current or future AI adoption.

A4ET8a8uTh0_v2|1 month ago

Maybe. I am likely not a typical HNer, but my company actually has use of AI our 2026 goals. I am not guessing. I know majority of people in this company have those goals baked in. Now, can I suspect other like companies do the same? No. But even if they don't, it does not matter. Because the companies that don't allow AI, have people who use it anyway..

strangescript|1 month ago

yes, AI isn't penetrating those fields with high job losses at all

potato3732842|1 month ago

Bespoke AI has not gotten everywhere but generic AI absolutely has.

The workforce is happily making themselves more efficient by using AI on their phones for what used to be multi step look it up in the literature or your supplier's catalog or consult the instructions or read the rules process when performing cookie cutter tasks they know but don't remember exact specifications for.

JumpCrisscross|1 month ago

> My hot take: We’re already in a recession

Personal-savings rate says we're heading into a recession, but aren't yet in one [1]. Labour-force participation, on the other hand, suggests we may be [2].

Assuming we go into another shutdown at the end of the month, none of this may be clear until well into the autumn.

[1] https://fred.stlouisfed.org/series/PSAVERT

[2] https://fred.stlouisfed.org/series/CIVPART

FatherOfCurses|1 month ago

Also RTO mandates as a way to cover up for layoffs.

zeroonetwothree|1 month ago

Q3 GDP was +4.3% We will know Q4 in a bit, but the projection is +2.7%

Hardly a recession

tills13|1 month ago

Remove AI data center spending from that.

eru|1 month ago

> - layoffs > with AI we can do more with less people

That's pretty silly. Just look at the unemployment rate, not at the headlines.

bpt3|1 month ago

Eh, layoffs also declined, consumer spending is up YoY, and we all know about the investments being made in AI that very well might be propping up the economy.

AI, when effective, is deflationary because it allows for similar productivity at a lower cost. That's what you're describing above, not a shadow recession that is being papered over by claims of AI use.

To my point: You could have replaced "AI" with "computing" for most of the last 50 years and been left with the same argument.