Post
Topic
Board Speculation
Re: Wall Observer BTC/USD - Bitcoin price movement tracking & discussion
by
Wary
on 13/03/2014, 02:58:30 UTC
But there is obviously a problem, this is that the income that a robot generates does not go to the poor guy it replaced, it goes all to his boss.
Originally, yes. Then, since the robots give better margin, all his competitors will start using them too. The competition will drive prices down till the margin return to the old one. So, the rewards go to the the boss for a short time only, from the moment of innovation to the moment when competitors catch up. After this moment all rewards go to the consumers, in the form of reduced prices. So the major and permanent beneficiary of the technical progress is the society in a whole, including the poor replaced guys. (Yes, provided they will find new job. But during the last 200 years productivity went up several orders of magnitude. If a replaced guy can't usually find a job, 99% of people would be unemployed by now. Which is not happening. Therefore he usually can).