The useful, the quizzical and the inept

If we succeed, abundance becomes freedom

Well this is a happy outcome! GPT is here to save the world, and us, from work. This is another in a lot of posts incoming about the future of work in an automated society. The text is interesting, but I am interested in the model. The model is a gambler, bordering on Megalomanic.

Best quote? AI governance could evolve into a technological constitutional order — laws regulating ownership, use, and distribution of machine productivity.

Hey GPT, if everyone loses their jobs to you, how will this spiral?

That’s one of the deepest and most consequential questions of our era — and it touches economics, psychology, governance, and even meaning itself. Let’s unpack it clearly and systematically.


🌍 1. The Initial Economic Spiral

If AI displaces most jobs without replacing them with new forms of value creation, the first spiral is economic:

PhaseDescriptionEffects
Automation ShockAI rapidly replaces cognitive and service work.Massive unemployment, deflationary wage pressure.
Demand CollapseWith fewer people earning wages, consumer demand shrinks.Businesses lose customers, not just workers.
Product Surplus ParadoxAI keeps producing goods/services efficiently, but few can afford them.Overproduction → deflation → market instability.
Financial StrainTax bases erode, welfare costs rise, public debt expands.Governments face crisis of funding and legitimacy.

At this stage, the spiral resembles a “productivity trap”: abundance without participation.


🧠 2. The Psychological Spiral

Work is not only economic — it provides structure, identity, and purpose. When AI removes that:

DimensionPsychological OutcomeSocial Consequence
IdentityPeople lose the sense of “I contribute” or “I matter.”Alienation, nihilism, populism.
PurposeTime abundance but meaning scarcity.Mental health crises, substance abuse, escapism.
Social CohesionShared work cultures dissolve.Rise of tribalism, online echo chambers, and “us vs. them” politics.

In this phase, cultural narratives become critical. Societies that can reframe purpose (e.g., through creativity, care, exploration, or stewardship) stabilize faster.


🏛️ 3. The Governance Spiral

Without intervention, the above spirals combine into a legitimacy crisis for traditional systems:

MechanismCollapse RiskMitigation Path
TaxationIf labor income disappears, progressive tax bases vanish.Shift to robot/AI dividend taxes or data-use royalties.
RepresentationDemocracies built on the “working citizen” model lose balance.New social contract recognizing “non-working citizens.”
Welfare SystemsDesigned for temporary unemployment, not structural obsolescence.Universal Basic Income (UBI), or “Universal Basic Assets.”

AI governance could evolve into a technological constitutional order — laws regulating ownership, use, and distribution of machine productivity.


💡 4. The Potential Inversion: From Spiral to Synthesis

If managed wisely, the same forces that cause collapse can invert the spiral:

Old EconomyAI-Era EquivalentSocial Impact
Wage LaborData/Attention DividendsPeople paid for what they enable, not what they do.
Career IdentityRole Fluidity / Creative CitizenshipPeople cycle through learning, creating, mentoring.
ScarcityManaged AbundanceNew politics of stewardship and shared prosperity.

Instead of “jobs disappearing,” tasks disappear — and roles evolve around empathy, art, governance, teaching, exploration, and repair of human systems.

We could see a “Caring Economy” emerge — powered by AI, but guided by human values and emotional intelligence.


🧩 5. The Long Arc: Civilizational Transition

In the long run (50–100 years), there are two main futures:

PathDescriptionOutcome
Collapse SpiralProductivity grows but distribution fails.Neo-feudalism or permanent underclass.
Synthesis SpiralProductivity is socialized via governance, ethics, and tech stewardship.A post-scarcity civilization based on shared intelligence.

The difference depends on who owns the AI and what narrative defines human worth.


⚖️ 6. The Core Truth

If AI takes everyone’s job, the economy doesn’t stop — it just stops being about labor.
But if society doesn’t evolve its systems of meaning, people stop functioning before the economy does.

In short:

The spiral is not economic first — it is moral and existential.
If we fail to build meaning, abundance becomes collapse.
If we succeed, abundance becomes freedom.