[z2]

The value of labor i.e. wages depend on labor demand (the marginal product of labor) and bargaining power, not output per worker. If AI is a substitute for many tasks, the marginal value of an additional worker, and what a company is willing to pay for their work can fall even if each remaining worker is more productive.

[YokoZar]

What you're forecasting is a scenario where total output has substantially increased but no one's hiring or able to start their own business. Instant massive recession is by no means a "sure bet" with technological improvements, especially those that make more kinds of work possible than before.

[z2]

I'm not forecasting that, and it's a virtual strawman in the face of my much narrower claim: that wages depend on marginal labor demand and bargaining power, not average output per worker. If AI substitutes for labor, the marginal value of adding another worker in many roles can fall. That can mean fewer hires or lower wages in some categories, not 'no hiring' or an instant massive recession. I have no idea what the addressable market or demand for our more productive economy is, but for the record I do hope it's high to support new businesses and a bigger pie in general!

[johnvanommen]

> What you're forecasting is a scenario where total output has substantially increased but no one's hiring or able to start their own business.

I said labor would have “lower value” after AI progresses further and further.

My statement reflects that increased productivity means that fewer people are required to generate the same amount of economic output.

You twisted my statement and said “nobody is hiring.”

Which isn’t what I said.

[johnvanommen]

That’s a perfect summary of what I was getting at, thank you