Automation and the Future of Economics/Jobs (Spin Off of the AI thread)

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138 comments, last by warhound 6 years, 2 months ago
22 hours ago, SeraphLance said:

"Smarter" technology just broadens the range of white-collarness that machines can cover.  In response, human labor opens up on the white end of the spectrum as we no longer need people doing the now-obsolete jobs.

Every new technology has created jobs for humans using that technology (and here's the fundamental point) that only humans can do (more accurately that only humans are cost-effective at doing). That set of jobs is rapidly shrinking. 

If automation creates new jobs, automation will also fill those jobs unless it can't. That is simple economic fact. 

 

22 hours ago, SeraphLance said:

It seems to me that the fear is that automation will cover the entire blue/white spectrum to the point where there's literally no work that can't be done by an automaton.

What jobs are there that can't ultimately be done better by a machine? There definitely are some; people will probably still pay to have human interaction in some circumstances (art, music, parts of the service industry, caring, etc).

But those are a fraction of the overall job pool. 

Anything with a simple cost metric associated with it can ultimately be automated. 

if you think programming is like sex, you probably haven't done much of either.-------------- - capn_midnight
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47 minutes ago, ChaosEngine said:

Every new technology has created jobs for humans using that technology (and here's the fundamental point) that only humans can do (more accurately that only humans are cost-effective at doing). That set of jobs is rapidly shrinking. 

If automation creates new jobs, automation will also fill those jobs unless it can't. That is simple economic fact. 

That's a small part of the job pool created by technology.  There are more musicians, actors, and writers today than during any era of human history.  It's not because they were enabled by new technology, but because they were released by technology of having to do other things -- like, say, growing food.  This is why major inventions and developments lead to revolutions across many unrelated fields.

This is analogous to saying before the agricultural revolution, "If we're not all hunting for food, what are we going to do all day?"  The answer is something else.

@SeraphLance, the question is not whether there are other things that we can do, it's whether there are other things we will be paid to do.

If we leave aside the idea of radically changing our economy for the moment, then fundamentally people need to earn money to pay for food, shelter, clothes, etc.

There might be plenty of musicians, actors and writers around today, but how many of them are actually making a living doing what they do? And on top of that, what % of the overall workforce are they? I'd be surprised if it's even 1%. 

29 minutes ago, SeraphLance said:

This is analogous to saying before the agricultural revolution, "If we're not all hunting for food, what are we going to do all day?"  The answer is something else.

What else? Keep in mind that whatever else you're going to do has to be:

  • economically valuable
  • something that cannot easily be automated
  • something that billions of unskilled people can do

I don't believe such a job does exist and more importantly, in an age of cheap automation, I don't believe such a job can exist... at least not to the point where it provides a sustainable income. 

I'm a programmer. I've been working in paid employment for nearly 20 years at this now. If someone automated my job (a distinct possibility before the end of my working life)... there isn't a whole lot else I could reasonably do to earn a living. I can do plenty of other stuff, but unless people are willing to pay to see some pretty average snowboarding, some very mediocre mountain biking and some frankly shameful guitar playing, I am going to have to think really hard about what I do to make a living.

if you think programming is like sex, you probably haven't done much of either.-------------- - capn_midnight
18 minutes ago, ChaosEngine said:

something that billions of unskilled people can do

Why do billions of unskilled people need to be able to do it?  No education whatsoever was standard only a few hundred years ago, and now most developed nations have at least ten years.  Yes, it's likely that in another two hundred years, something resembling a modern 4-5 year college curriculum will also be mandatory.

Yes, if you lose your job you might be screwed, because you can't easily retrain in your lifetime.  However, that's a short-term loss.  You're going to grow old and die, and your kids if you have them will be educated in something else more relevant and employable.  That's an actual economic problem to deal with; the rate of automation can (relatively) short-term cause labor issues.  However, that makes discussion of a star-trek post-supply utopia the wrong problem to talk about.

But yeah, if your problem is "what do I do if my white-collar job gets automated", then we're talking past one another.  However, I don't think such a problem necessitates considering entirely new economic models, but rather a shorter working life until retirement, or continuing education (especially relevant in our field).

1 hour ago, SeraphLance said:

Yes, if you lose your job you might be screwed, because you can't easily retrain in your lifetime.  However, that's a short-term loss.  You're going to grow old and die, and your kids if you have them will be educated in something else more relevant and employable.  That's an actual economic problem to deal with; the rate of automation can (relatively) short-term cause labor issues.  However, that makes discussion of a star-trek post-supply utopia the wrong problem to talk about.

The crux of the difference in perspective here is that you believe that the jobs lost to automation will be replaced with something else. @ChaosEngine@Luckless (correct me if I'm wrong here man), and myself don't agree.

2 hours ago, SeraphLance said:

That's a small part of the job pool created by technology.  There are more musicians, actors, and writers today than during any era of human history.  It's not because they were enabled by new technology, but because they were released by technology of having to do other things -- like, say, growing food.  This is why major inventions and developments lead to revolutions across many unrelated fields.

This is analogous to saying before the agricultural revolution, "If we're not all hunting for food, what are we going to do all day?"  The answer is something else.

And this is I think what I'm most curious to hear from you. What will people who were previously doing things like manufacturing, and relatively low skilled jobs do for a living (given the current system)? As @ChaosEngine pointed out, we can only have so many creative types in our current system. Surely the people who worked unskilled jobs can't all become programmers or any other highly skilled job and in any event, we only need so many programmers. Maintenance? Sure, but again, we only need so many people to maintain things, and even that may have potential solutions as well. We're even slowly starting to see changes in programming/software development too. The crux of what we are arguing is summed up best by this:

On 1/27/2018 at 5:00 PM, Luckless said:

Well, if we do develop a general AI able to handle creative reasoning on par with a human, and cheaply deploy robotics that are on par or better than human dexterity (Which we're nearly at now), then exactly what kind of job do you expect a human would be more suited to than a synthetic employee? (a synthetic who doesn't have rights, and was programmed to quietly do their job without demanding things like breaks, vacation, pay, etc.)

Sure I do concede there will be certain types of problems that need to be solved, but again, there won't be a ton of unskilled work I feel at least. So what's your take on what people will do @SeraphLance?

No one expects the Spanish Inquisition!

1 hour ago, SeraphLance said:

Why do billions of unskilled people need to be able to do it? 

Because there are billions of unskilled people who need employment?

1 hour ago, SeraphLance said:

Yes, it's likely that in another two hundred years, something resembling a modern 4-5 year college curriculum will also be mandatory.

200 years? This problem is going to happen within decades at most. 

 

1 hour ago, SeraphLance said:

You're going to grow old and die, and your kids if you have them will be educated in something else more relevant and employable

That's the point. There won't be anything "more relevant and employable" because a machine will already be doing it.  

1 hour ago, SeraphLance said:

But yeah, if your problem is "what do I do if my white-collar job gets automated", then we're talking past one another. 

That might be my specific problem, but it's definitely not what I'm talking about. What are you going to do with the 70 million transportation workers worldwide who won't have a job?

 

1 hour ago, SeraphLance said:

However, I don't think such a problem necessitates considering entirely new economic models, but rather a shorter working life until retirement, or continuing education (especially relevant in our field).

Neither of those work.

First of all, people are living longer. Everyone is already talking about how our current "retire at 65" model is economically unsustainable. If anything, we're going to be working longer to pay for our retirements (assuming there's still work to be done). 

And continuing education? Yeah, it's relevant for a while, but you're not going to learn faster than automation progresses. Even if my timescale is off by a few decades, and automation doesn't really kick in for another 40-50 years, it's still a problem that generation will face. At some point, maybe sooner, maybe later, automation will outpace humans in all but a vanishingly small number of careers. It's not even a question. 

 

if you think programming is like sex, you probably haven't done much of either.-------------- - capn_midnight

And I for one do not buy the Luddite "Smash the Machines!" approach to preserving employment all for the sake of maintaining a barely functional economic model. - Why should it be the expectation that so many in the world should work 40+ hours a week for someone else's profit while they themselves struggle to keep lights on, feed themselves, and maintain a comfortable space to live?

In all honesty, why should I care if my neighbour stays home watching TV all day while I go out and do a job I'm passionate about and care for, assuming that neighbour isn't making a mess or having a negative impact on my own life?

 

We are approaching a point in history where humans can universally devote their lives to arts and sciences, and where labour is done out of choice rather than economic necessity. One where people choose to build wooden boats by hand, not because it is economically superior to something built by a robot in a factory, but because building a wooden boat with hand tools is fun.

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On 27.1.2018 at 8:55 PM, deltaKshatriya said:

And this is why I keep asking about alternatives.

Well.... going down the devils advocate route here, are we only talking about alternatives benefiting the lower classes? Should the ultra-capitalist systems that actually might emerge when a company less left leaning than Google (which, in its own quirky way, is also ultra-capitalist, sadly... a left leaning consience cannot rescue a company from becoming the capitalist top dog on the planet) becomes the dominant tech company?

Not that I want to live in the russian system, on steroids, expanded on the whole planet, with putins socialist "government" being replaced by tyrannic privat companies. But its another way how automation might change society.

How would it keep the system socially stable? Hm, first thought that comes to mind is tyranny... but then, that seldom results in a longterm stable system, unless the citizens have been "pacified" by a catastrophe or have been living under a tyranny for a very long time...

But what if the current divisiveness in politics and social norms isn't subsiding, but is increasing? What if western, and maybe other societies worldwide goes through many decades of unrest, failing systems, maybe even war? At what point would citizens accept ANY system, no matter how tyrannic or unjust, as long as it brings them stability, peace and minimal living standards? That could be what is needed to keep the ultra-capitalist tyrrany going, at least for a while.

Now could such a system survive without some socialist components and paying people money despite not working? Maybe the system would keep humans occupied in some way or another. Lets say all the work a machine cannot do a lot more efficient, the system would employ human workers for. These jobs would be more expensive for the system, but at the same time might feed a part of the population.

Maybe there would be jobs "to dangerous to risk a machine for"... instead of sending an expensive machine to do a dangerous job, the system would send human workers to do it. They are easy to replace, given there is enough competition in the job market for every open position that pays a living in this dysantropic world. I can see the exploration of space being spearheaded by humans to save on hardware cost for the long range probes. PROBABLY going to drive cost up, given human astronauts usually want a return ticket.

 

As said, another alternative route to deal with automation is to simply not allow automation to happen. Again, probably not the alternatives you are looking for.... but its one of the more realistic ways how future might pan out if we look at the current trend worldwide, where rightwing politics are on the rise, bringing isolationism and backwards thinking with it.

I am not sure that political and social pressure could stop automation completly... but I can see a scenario where it delays its implementation, the implementation goes wrong and these backwards forces achieve a ban of the technology, at least for some time.

 

Then coming back to less "devils advocates" solutions... I can also see automation work in a current day capitalist system. One thing to keep in mind is that machines also need to compete with humans in the workforce. IF machines can do the same job better and cheaper, humans will be obsolete.

But what if humans are simply cheaper to run than machines? What if energy prices trend upwards, while the price for food stays the same? What if the manufacturing cost for more complex computers needed to run those AI algorithms do not get cheaper fast enough?

What if its cheaper to employ 10, or maybe 100 humans to do the job an expensive machine could do running on expensive fuel?

Going off from todays trends its a stretch (altough it IS getting ever more expensive to create a new chip manufacturing line for a smaller process, energy prices have not really gone up)... but remember, we are still decades away from this vision potentially having any chance. A lot can happen during this time. Like nuclear powerplants going offline and being replaced with less efficient renewable energy. Like an increasing amount of natural disasters destroying manufacturing plants and increasing hardware cost (the cost for RAM has risen to staggering amounts thanks to the tsunamy some years back destroying the biggest RAM factory in the world)... like Cryptocurrency disrupting more than just the financial market (if the amount of energy wasted on cryptocurrency continues to grow, I see some countries trying to ban it not just for the danger of financing of terrorism and crime).

 

Would I prefer any of these systems to automation actually closing the gap between the rich and the poor a little bit? No. But they are alternative paths leading to a very different way humanity deals with automation.

 

 

Now, to end on a note probably seen as more constructive... I do think a lot can be achieved with a mixed system. I think what really is needed is that the social contract between the public and the private companies are re-negotiated. I think you can have a private company, that is working for its own profit yet still trying to benefit society as a whole.

Given how this whole system basically hinges on nationstates being gone, or at least no longer being in competition with each other, a private company will have to obey the rules of the "world state".... there is no "safe haven" anymore for bad actors in the private sector to flee to.

So you can leave the company privatized, and let them compete within clear rules set by the state. Instead of making one of them clearly superior in position like today in capitalistic wester countries (where the economy, and thus the private sector tends to dictate the rules), or in the communist systems (where the state dictates the rules), you could have a system were the public state and private companies are kind of even partners with a very strict set of "rules of engagement".... companies would have to adhere to clear rules, yet had a formalized path open to filed complaints in a manner the state couldn't simply ingore.

There would be clear benefits to the private companies too, guaranteeing stability and social peace for adhering to the rules and paying taxes.

 

 

13 hours ago, SeraphLance said:

This is analogous to saying before the agricultural revolution, "If we're not all hunting for food, what are we going to do all day?"  The answer is something else.

I think the problem is, that something else at some point is also elligible to being automated.

 

If that is ALWAYS the best or cheapest route I am not so sure myself. And again, one of the things the guys presenting the automation-communism/socialism as the only way to go tend to forget is that the push for automation is ONLY so strong because of modern day free market capitalism, were if something is more efficient, it will have to be done, unless the company wants to loose ground and riks becoming obsolete.

A communist system can sustain ineffciency, has in the past, and might simply choose going the easy route and pay people to do the job that could be automated.

 

14 hours ago, ChaosEngine said:

What jobs are there that can't ultimately be done better by a machine?

Is "better" ultimately the end goal of work, outside of a hypercompetitive system like capitalism? IF one day communism takes over, and IF it one day spans the whole earth as one communist system... what kind of competition would force humanity to do jobs "better", when they could simply be done the same way they always have?

An alien race that poses an outside threat? Some scam set up by the state to keep the masses on their toes?

 

For the soviet union, the competition was the US and capitalism. If capitalism is gone, and there is no "outside threat" to compete with, a communist systemwill run out of steam probably. While a capitalist system has built competition into its core. Thus communism actually is the better solution if you want to NOT automate jobs, and want to keep the status quo, at the point when no outside competition is forcing communism to keep up.

 

On 27.1.2018 at 8:55 PM, Luckless said:

But being "Open to abuse" is not remotely unique to a shared collective. Current western markets are already being abused, often fairly openly, and we no only allow people to get away with the abuse, but we'll even have our governments bail them out when things go bad "For the good of the economy". 

Imagine if a group of hackers made their way into banking systems? What if a group got together and started calling seniors to tell them their computer is infected and needs remote access to be cleaned up, and then proceed to steal financial info?

No system will ever be free from corruption or abuse, but rather we, as a society in general, need to develop systems that limit the potential of abuse, and people's ability to get away with it. - If everyone in a nation agrees to sets of standards of living, then it becomes a bit hard to hide the fact you're abusing things if you're reaching well above those standards where your neighbours can see you.

Still, the more centralized a system, the more open to abuse it is. That is one of the biggest issues I see with the communist system as it was implemented until now.

Now, if you could setup a system where multiple smaller entities kinda "compete" with each other... or, to use less capitalistic wording, exist alongside each other... with each entitiy being semi-isolated from each other so if one of them is overtaken by a tyrant, the other can react... maybe that would mitigate the risk.

I can see communism work when communism doesn't try to unify the whole world, but instead leaves local governments free to reign over their own little communist country. Unlike the soviet union who tried to completly control their vassal countries (sold them their old junk tanks by simply telling the local government to tell their industry to stop producing indigenous tanks, even if those were vastly superior, and instead produce something else)...

Given how many countries today are kind of struggling with their own size, I can see those "communist nations" being small-ish. Would kinda satisfy some of the rightwing pushes for more regionality.

 

 

 

One thing that hasn't been brought up in the discussion by now is the fact that there might the situation in the future were the amount of work outpaces the ability of our industry to produce enough machines to do the work. IF space faring technology is picking up pace again, and humans start colonizing other planets, as well as start probing the farther reaches of the solar system and beyond, there might be a sudden increase in jobs because of all the infrastructure needed to keep offworld mining and exploration going. Maybe a ton of jobs would suddenly emerge for humans to work offworld. Or maybe the industry would concentrate on automating offworld jobs, not having enough capacity to also keep automating all the jobs left on earth....

One thing I would like to ask @deltaKshatriya is how would this "central planning" AI would work? How would it :

a) know the wants and needs of the people
b) know the most cost-effective means in which it could satisfy them?

So before I respond to anything else, I guess @mikeman posed a pretty good question tbh.

4 hours ago, mikeman said:

One thing I would like to ask @deltaKshatriya is how would this "central planning" AI would work? How would it :

a) know the wants and needs of the people

The first part is the most complicated part of the system.

For basic necessities, like food and water, aren't super tough really. IMO agriculture can easily be taken care of through good optimization algorithms that examine how much is being bought and by whom and where, and with some predictive analytics and pattern analysis, could probably fairly easy to solve. There's only so much in food that needs to be manufactured beyond a point. And we can still have restaurants, chefs, etc, along with people who basically design food. Algorithms can then sample demand for different products and use analytics/predictive algorithms to then produce what's necessary.

What other things are there? There's things like transportation (cars), computers, furniture, clothes, etc. In general, consumables Let's look at how supply and demand works right now with resource allocation. Right now, the idea is that an enterprising individual would see that people want something like product x. He would build it and price it fairly to make a profit. The key part here is in identifying the wants and needs, which is typically done right now through 'gut instinct', or 'observations' but also market research plays a huge role in whether or not something will be successful or not and also, how much to produce of something.

Algorithms can sample demand in general for a certain class of product (like say, computers, or cars). These algorithms can even learn from something like social media, or get granular, and use data on personalities, etc. to get more of an idea. Essentially, these algorithms would conduct 'market research' automatically as opposed to using humans. So this way we can get an idea for demand for a general class of products.

Then the question is what about variety and different styles, etc.? That's what perhaps people love the most about capitalism: the choices we have. Choices need not disappear. Similar automated market research is conducted for people who make designs/work as 'car designer', or 'fashion designer', etc. In this way we decide how much of specific products to create. 

Not everything necessarily needs much analysis. Video games/software, and movies, for example, can pretty much be released onto a cloud service without much need to really worry about resource analysis.

4 hours ago, mikeman said:

b) know the most cost-effective means in which it could satisfy them?

So the market analysis also has to be paired with a cost-benefits analysis as well. The benefits in this case will be an analysis of net happiness/satisfaction, and also utility, etc. If it's found to be something cost effective for what it gives, then we know how much of each to make. It's then a simple question of figuring out the hard numbers for what needs to go where. 

If more is needed of one thing and less of another, the system adjusts accordingly.

You could even call this automated capitalism in some ways, since what it essentially does is takes the principles of capitalism and automates them, freeing up most people to do what they want to do. The idea of communism comes into play more because we no longer have people who own the factories, or the means of production. The means of production are, instead, owned by no one/the state. 

This is by no means a utopia. You can still have the struggling fashion designer who simply can't get enough popularity. The difference is that it's more of an issue of feeling useful/validated rather than straight up surviving. People's jobs would be either creative, or working in engineering/science. Engineers would work with AIs to invent new stuff while scientists continue research. What really disappears here is low skilled jobs: the manufacturers, or janitors, or truck drivers etc.

The other question that arises is how do we decide when perhaps a new factory should be built to produce a new class of product? Similar market research and algorithms can estimate if the utility and net benefits are worth the costs.

Of course, this is just an idea. IMHO there can be other methods of how algorithms/AI can manage resource allocation. And, obviously, this is far from complete.

@Gian-Reto: imho you've named a lot of worst case scenarios. I was more getting at alternatives that are feasible solutions tbh. I don't believe banning automation is really a solution either, since you can't stop the entire world from not using it, and, ultimately, is just a means to kill progress. You can slow it down, but you can't kill it. 

10 hours ago, Gian-Reto said:

Now, to end on a note probably seen as more constructive... I do think a lot can be achieved with a mixed system. I think what really is needed is that the social contract between the public and the private companies are re-negotiated. I think you can have a private company, that is working for its own profit yet still trying to benefit society as a whole.

Given how this whole system basically hinges on nationstates being gone, or at least no longer being in competition with each other, a private company will have to obey the rules of the "world state".... there is no "safe haven" anymore for bad actors in the private sector to flee to.

So you can leave the company privatized, and let them compete within clear rules set by the state. Instead of making one of them clearly superior in position like today in capitalistic wester countries (where the economy, and thus the private sector tends to dictate the rules), or in the communist systems (where the state dictates the rules), you could have a system were the public state and private companies are kind of even partners with a very strict set of "rules of engagement".... companies would have to adhere to clear rules, yet had a formalized path open to filed complaints in a manner the state couldn't simply ingore.

There would be clear benefits to the private companies too, guaranteeing stability and social peace for adhering to the rules and paying taxes.

I'm more curious about this. How would we offset the job loss from automation in this system, however?

10 hours ago, Gian-Reto said:

Is "better" ultimately the end goal of work, outside of a hypercompetitive system like capitalism? IF one day communism takes over, and IF it one day spans the whole earth as one communist system... what kind of competition would force humanity to do jobs "better", when they could simply be done the same way they always have?

An alien race that poses an outside threat? Some scam set up by the state to keep the masses on their toes?

 

For the soviet union, the competition was the US and capitalism. If capitalism is gone, and there is no "outside threat" to compete with, a communist systemwill run out of steam probably. While a capitalist system has built competition into its core. Thus communism actually is the better solution if you want to NOT automate jobs, and want to keep the status quo, at the point when no outside competition is forcing communism to keep up.

My proposal doesn't do away with competition. Competition is good in moderation, like most things in life. There are rewards for people who contribute positively to society. My example would be that say we have a doctor who invents a cure for cancer (assuming we haven't cured it already). That doctor is rewarded in some means. This could be a really nice car, or a bigger house, or any number of things. There will also be the fame and honors you'll get. Maybe the doctor can also be promoted to a position of more prominence that involves leading other doctors, etc. 

My system doesn't get rid of competition, rewards, nor does it attempt to equalize everyone. All that disappears is ownership of giant factories, etc. Even private enterprise exists, in the form of competing with others to get more market share, and more rewards. 

The biggest misconception here seems to be that we want to forcibly equalize, and forcibly get rid of competition, and forcibly create an 'equal' society. That's not true at all. We are trying to make things more equal, but not 100% equal, in the sense that everyone should have a basic standard of living of living relatively comfortably, compared to how the middle class lives right now. Some people will have more privately owned things than others: there's no question of that. The only major thing you cannot own is factories/means of production.

10 hours ago, Gian-Reto said:

Still, the more centralized a system, the more open to abuse it is. That is one of the biggest issues I see with the communist system as it was implemented until now.

Three things:

1): We don't need to have necessarily a central AI. This can be a conglomeration of AIs talking to one another, where each AI represents some sector of the market. It depends more on how the system is designed. 

2): Capitalism does have some key dependencies as it is. The Federal Reserve Bank has to function, for example. Banking in general has to function. If banking fails, capitalism fails right with it. Determined actors can easily take this down. Imagine someone who infiltrates the Fed, for example.

3): Capitalism is abused quite a bit as it is. As @Luckless pointed out. Capitalism isn't very robust to abuse either. We had the Great Depression, after which we realized that more fail safes are needed. Is it tough to imagine people building a similar system failsafes for our proposed system here?

10 hours ago, Gian-Reto said:

One thing that hasn't been brought up in the discussion by now is the fact that there might the situation in the future were the amount of work outpaces the ability of our industry to produce enough machines to do the work. IF space faring technology is picking up pace again, and humans start colonizing other planets, as well as start probing the farther reaches of the solar system and beyond, there might be a sudden increase in jobs because of all the infrastructure needed to keep offworld mining and exploration going. Maybe a ton of jobs would suddenly emerge for humans to work offworld. Or maybe the industry would concentrate on automating offworld jobs, not having enough capacity to also keep automating all the jobs left on earth....

IMHO, space colonization is at least a couple centuries away. That and I'm still not very sure if people will WANT to colonize space, given how little value we might get from it, at least, for now.

 

No one expects the Spanish Inquisition!

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