The "AI 2027" Scenario: How realistic is it?

Its a shame that your standard futurologist always the most fancyful.

Talks of exponentials unabated by physics or social problems.

As soon as AI starts to "properly" affect the economy, it will cause huge unemployment. Most of the financial world is based on an economy with people spending cash.

If they are unemployed, there is no cash.

Financing works because banks "print" money, that is, they make up money and loan that money out, and then it gets paid back. Once its paid back, it becomes real. Thats how banks make money (simplified) If there aren’t people to loan to, then banks don't make profit, they can't fund AI expansion.

We really need to establish a universal basic income before jobs are replaced. Something like two thousand a month. And a dollar for dollar earned income credit with the credit phasing out with at a hundred grand. To pay for it the tax code uses GAAP depreciation and a minimum tax of 15% GAAP financial statement income. This would work toward solving the real estate problem of private equity buying up all the houses as they would lose some incentive by being taxed. I'm a CPA and I see so many real estate partnerships that are a tax loss that are able to distribute huge book gains because accelerated depreciation.