A new financial crisis is imminent. That should cause the market to focus on the downsides of artificial intelligence. Its role in driving up unemployment. Many office jobs could disappear rapidly during the next recession. How many will be gone in five years?
The problem is urgent because the market prices in the future today. If investors believe unemployment will be extremely high and the economy will have collapsed in five years they will adjust bond prices accordingly well in advance. That means governments could go bankrupt much earlier.
If nothing is done the coming years will be grim. Any solution?
Governments may deploy the military and tanks in the streets to prevent anarchy. Just as nearly happened in 2008. Perhaps Trump is aware of this but chooses to blame crime instead??
The problem is urgent because the market prices in the future today. If investors believe unemployment will be extremely high and the economy will have collapsed in five years they will adjust bond prices accordingly well in advance. That means governments could go bankrupt much earlier.
If nothing is done the coming years will be grim. Any solution?
Governments may deploy the military and tanks in the streets to prevent anarchy. Just as nearly happened in 2008. Perhaps Trump is aware of this but chooses to blame crime instead??
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