This is also why Ricardian comparative advantage won’t apply. If the AI side has a choice of trading with humans for something, vs. spending the same resources on building AIs to produce the same thing cheaper, then the latter option is more profitable.
Maybe it’s equivalent, but I have been thinking of this as “The price at which humans have comparative advantage will become lower than subsistence, so humans refuse the job and/or die out anyway.” AKA this is what happened to most horses after cars got cheap.
Maybe it’s equivalent, but I have been thinking of this as “The price at which humans have comparative advantage will become lower than subsistence, so humans refuse the job and/or die out anyway.” AKA this is what happened to most horses after cars got cheap.
Yeah, I think your formulation is more correct than mine.