Will AI Really Take Our Jobs? And If So, Then What? — With Albert Wenger
Jan 10, 2024
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Albert Wenger, partner at Union Square Ventures and author, joins the podcast to discuss the impact of AI on job loss. They debate whether AI will automate jobs, touch on UBI, and highlight the need for comprehensive changes beyond UBI to fix the broken social system.
The debate over AI job loss centers on creating a society that can distribute automation's benefits effectively.
The current labor market may be stuck in a 'low automation trap,' and even job augmentation can increase pressure on employment.
Deep dives
AI and Job Loss
The podcast episode explores the debate surrounding whether AI will lead to job loss and how to address this issue. The guest speaker emphasizes the positive impact of automation throughout history, such as in agriculture. However, the focus shifts to the question of creating a society and economy that can effectively distribute the benefits of automation and ensure people are not fearful of its consequences. There is a disagreement between the host and the guest about the extent of AI job loss. The guest argues that current examples of automation may not lead to significant job loss, but the host contends that the transition period may be harsh and that the nature of automation in this wave differs from past waves.
Transition Challenges and Automation
The podcast delves into the challenges of the transition to increased automation. The speaker argues that the current labor market may be stuck in a 'low automation trap' due to an overabundance of labor and low wages. They suggest that the discussion of augmentation versus replacement of jobs is misleading, as even with augmentation, the job market can still be under pressure. The episode points out that previous waves of automation have had delayed effects due to companies tightening their belts during economic downturns. The guest contends that the current wave of automation may lead to an exacerbation of income inequality and the creation of a 'precarity' class.
UBI and Changing Social Systems
The podcast explores the concept of Universal Basic Income (UBI) as a potential solution for the challenges posed by automation. The guest argues that human motivation extends beyond monetary incentives and that UBI can provide a social system that allows people to pursue meaningful work and interests without the pressure of needing to work to survive. They highlight the importance of changing the tax code and education system alongside UBI to create a more equitable and fulfilling future. The discussion also touches upon the recent 'great resignation' and emphasizes that fewer people being willing to work low-quality jobs is a driver for technological innovation.
NFTs and Innovation
In addition to the discussion on job loss and UBI, the podcast briefly touches upon NFTs (Non-Fungible Tokens). The guest expresses belief in the innovation potential of NFTs, despite acknowledging the prevalence of grifts and scams in the recent crypto landscape. They argue that NFTs enable new possibilities for digital art and the concept of ownership, offering unique opportunities for individuals to collect and showcase digital assets. The guest believes that NFTs will experience a revival and expand beyond art, potentially encompassing areas like real estate titles.
Albert Wenger is a partner at Union Square Ventures, and author of The World After Capital. He joins Big Technology Podcast for a frank conversation about whether AI will lead to job loss and what to do about it. In an unusual setup, the journalist in this conversation (Alex) argues that we have less to worry about AI automating jobs than the popular narrative, and the VC (Wenger) makes the case that it will definitely happen and how we should adjust. Stay tuned for the second half where we discuss Wenger's five year experiment with UBI.
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