You do realise that if 50% of consumption disappears then a lot of people from that 90% will loose their jobs as well. I don’t care about the 10%, I also think the income inequality in the US is insane, but the fact is that if AI stocks tank right now, poor people will feel it as well (much more so than rich people, because they can’t survive without a job and don’t have wealth as a safety net)
Comment on Everyday AI looks more like the '08 housing bubble
Knock_Knock_Lemmy_In@lemmy.world 12 hours agoBoo hoo. Rich people become less rich.
Redex68@lemmy.world 11 hours ago
Knock_Knock_Lemmy_In@lemmy.world 10 hours ago
You are talking yourself into trickle down economics. There is now plenty of evidence that this isn’t true.
There is no need to protect rich people’s wealth so that the poor don’t suffer
Redex68@lemmy.world 9 hours ago
I don’t understand what your point is? I’m merely expanding on OP’s question and stating the fact that the way things are currently, when the AI bubble bursts poor people will feel it the most. Trickle down economics doesn’t work because if you give 100 bucks to a rich person, they’ll spend like 5 of it. If you give it to a poor person, they’ll spend all of it. But that has nothing to do with the fact that if the bubble bursts right now, poor people aren’t going to somehow get any of that money. They will loose their jobs, because the economy slowed down and nobody is buying anything and their jobs aren’t needed anymore. They will just suffer more and rich people will buy up their houses that they now have to sell at bargain prices.
Knock_Knock_Lemmy_In@lemmy.world 8 hours ago
They will loose their jobs, because the economy slowed down and nobody is buying anything and their jobs aren’t needed anymore
No.
The AI debt creation and investment is not of any benefit to the working class (except for a few construction workers). These data centers don’t create 1000s of jobs. Windsurf has 250 employees. Cursor has 30.
This AI bubble is not affecting general income, only assets. As it doesn’t hit income, it doesn’t hit consumption. Poor people earn and consume. They are asset poor.
A pop in the AI bubble will damage the billionaires, but not the poor.
boonhet@sopuli.xyz 12 hours ago
And the poors lose their jobs but who cares lmao they should just eat cake
Knock_Knock_Lemmy_In@lemmy.world 10 hours ago
I call bullshit. You are white knighting the poor to protect your own ass.
boonhet@sopuli.xyz 5 hours ago
No, actually when people stop buying things and companies close down, I’m pretty sure the employees of said companies lose their jobs.
It sucks but that’s capitalism for you.
Knock_Knock_Lemmy_In@lemmy.world 5 hours ago
But if AI pops then that doesn’t mean that people will stop buying things.
Very few people are employed by the AI industry. Most people’s income won’t change. Most people’s consumption won’t change.
Lucelu2@lemmy.zip 4 hours ago
The best thing us poors in the US can do is eliminate our consumer debt, pay it off or do a bankruptcy and pray(hope really hard and vote) we do get a president who can effectively forgive student debt. This means no spending, strict budgeting and eliminating any and all subs, discount phone, etc. If you are already there, getting more paid work if possible.