Me: Better acculturate leisure and positive purpose before AI eliminates 40% of present employment in the next 15-20 years or it will be a social disaster after it happens.
JD: Craig, let me recommend this little book by Yanis Varofakis, “Talking to my Daughter” a brief history of Capitalism, and economics. Look in particular at chapter 6. I think it applies to your ideas. It’s a very good read and very entertaining as the target is his then 15 yr old.
Me: If you can go to the grocery store or any place else that has things you want to buy and get it for $5 today when you had to pay $10 yesterday your purchasing power is doubled and the business you bought it from just had the money available to buy their goods just doubled too. That’s the 15 year old message I have been declaring here for years and the economists and economic pundits here can’t seem to comprehend it. The problem isn’t mine.
JD: The energy equation you rely on is not going to last. When energy oil say was costing 1% of production was one thing which kept us going til 1970. Now its 10% and going up all the time. This shortage of cheap energy will destroy everything. What you want at half price will be 20x by then if it even exists.
Me: And nothing can be or will be done about it, right? What a counsel of despair and hogwash! Listen to the latest video available to all on Steve Keen’s patreon site.
You see the REAL economic problem has always been the monetary PARADIGM and how it has de-stabilized the economy….for the entire history of human civilization. That’s what Steve Keen RE-discovered and ALMOST cognited on when he correctly observed that neo-classicals ignored money, debts and banks….”because if they did they’d have to confront the fact of how the money SYSTEM de-stabilizes the economy.” That’s a quote from one of his recent videos. He correctly recognized the problem. The problem with that is he still didn’t cognite ON THE SOLUTION, that is, the new monetary paradigm.
Wisdom/Paradigm Perception is the recognition of both the problem AND the solution. Intellectuals so love their problems. They’ll obsess about them until they’re tired of doing so and then move on to another one….like Steve Keen has with his de-bunking of Nordhaus’s recent predictions about energy’s effects. Of course the SOLUTION to the energy PROBLEM…is still recognizing the new monetary PARADIGM.
Survival trumps all other considerations which means no matter how much money and subsidization it may take to discover the new sources to replace fossil fuels you have to create them….and the twin 50% discount/rebate policies, universal dividend and non-profit publicly administered national banking and financial system of Wisdomics-Gracenomics are the precise policies and structural changes necessary to do that without either enforcing systemic monetary austerity or creating wild inflation.