Tech
If AI takes most of our jobs, money as we know it will be over. What then?
It’s the defining technology of an era. But just how artificial intelligence (AI) will end up shaping our future remains a controversial question.
For techno-optimists, who see the technology improving our lives, it heralds a future of material abundance.
That outcome is far from guaranteed. But even if AI’s technical promise is realized—and with it, once intractable problems are solved—how will that abundance be used?
We can already see this tension on a smaller scale in Australia’s food economy. According to the Australian government, we collectively waste around 7.6 million tons of food a year. That’s about 312 kilograms per person.
At the same time, as many as one in eight Australians are food-insecure, mostly because they do not have enough money to pay for the food they need.
What does that say about our ability to fairly distribute the promised abundance from the AI revolution?
AI could break our economic model
As economist Lionel Robbins articulated when he was establishing the foundations of modern market economics, economics is the study of a relationship between ends (what we want) and scarce means (what we have) which have alternative uses.
Markets are understood to work by rationing scarce resources toward endless wants. Scarcity affects prices—what people are willing to pay for goods and services. And the need to pay for life’s necessities requires (most of) us to work to earn money and produce more goods and services.
The promise of AI bringing abundance and solving complex medical, engineering and social problems sits uncomfortably against this market logic.
It is also directly connected to concerns that technology will make millions of workers redundant. And without paid work, how do people earn money or markets function?
Meeting our wants and needs
It is not only technology, though, that causes unemployment. A relatively unique feature of market economies is their ability to produce mass want, through unemployment or low wages, amid apparent plenty.
As economist John Maynard Keynes revealed, recessions and depressions can be the result of the market system itself, leaving many in poverty even as raw materials, factories and workers lay idle.
In Australia, our most recent experience of the economic downturn wasn’t caused by a market failure. It stemmed from the public health crisis of the pandemic. Yet it still revealed a potential solution to the economic challenge of technology-fueled abundance.
Changes to government benefits—to increase payments, remove activity tests and ease means-testing—radically reduced poverty and food insecurity, even as the productive capacity of the economy declined.
Similar policies were enacted globally, with cash payments introduced in more than 200 countries. This experience of the pandemic reinforced growing calls to combine technological advances with a “universal basic income.”
This is a research focus of the Australian Basic Income Lab, a collaboration between Macquarie University, the University of Sydney and the Australian National University.
If everyone had a guaranteed income high enough to cover necessities, then market economies might be able to manage the transition, and the promises of technology might be broadly shared.
Welfare, or rightful share?
When we talk about universal basic income, we have to be clear about what we mean. Some versions of the idea would still leave huge wealth inequalities.
My Australian Basic Income Lab colleague, Elise Klein, along with Stanford Professor James Ferguson, have called instead for a universal basic income designed not as welfare, but as a “rightful share.”
They argue the wealth created through technological advances and social cooperation is the collective work of humanity and should be enjoyed equally by all, as a basic human right. Just as we think of a country’s natural resources as the collective property of its people.
These debates over universal basic income are much older than the current questions raised by AI. A similar upsurge of interest in the concept occurred in early 20th-century Britain, when industrialization and automation boosted growth without abolishing poverty, instead threatening jobs.
Even earlier, Luddites sought to smash new machines used to drive down wages. Market competition might produce incentives to innovate, but it also spreads the risks and rewards of technological change very unevenly.
Universal basic services
Rather than resisting AI, another solution is to change the social and economic system that distributes its gains. UK author Aaron Bastani offers a radical vision of “fully automated luxury communism.”
He welcomes technological advances, believing this should allow more leisure alongside rising living standards. It is a radical version of the more modest ambitions outlined by the Labor government’s new favorite book—Abundance.
Bastani’s preferred solution is not a universal basic income. Rather, he favors universal basic services.
Instead of giving people money to buy what they need, why not provide necessities directly—as free health, care, transport, education, energy and so on?
Of course, this would mean changing how AI and other technologies are applied—effectively socializing their use to ensure they meet collective needs.
No guarantee of utopia
Proposals for universal basic income or services highlight that, even on optimistic readings, by itself AI is unlikely to bring about utopia.
Instead, as Peter Frase outlines, the combination of technological advance and ecological collapse can create very different futures, not only in how much we collectively can produce, but in how we politically determine who gets what and on what terms.
The enormous power of tech companies run by billionaires may suggest something closer to what former Greek finance minister Yanis Varoufakis calls “technofeudalism,” where control of technology and online platforms replaces markets and democracy with a new authoritarianism.
Waiting for a technological “nirvana” misses the real possibilities of today. We already have enough food for everyone. We already know how to end poverty. We don’t need AI to tell us.
This article is republished from The Conversation under a Creative Commons license. Read the original article.
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Tech
Why Is Alexa+ So Bad?
I stuck Amazon’s Echo Show 15 and its Alexa+ AI assistant in my kitchen for a month. Things have not gone well.
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Tech
The War on Iran Puts Global Chip Supplies and AI Expansion at Risk
South Korean officials have warned that the US-Israel war with Iran could hit the global semiconductor supply chain if it disrupts the flow of critical industrial materials from the Middle East.
South Korea’s semiconductor sector, led by giants like Samsung Electronics and SK Hynix, produces about two-thirds of the world’s memory chips. If the Middle East’s supply of chipmaking materials is disrupted, semiconductor production could slow unless alternative sources are found quickly.
The Helium Problem
One material at risk is helium, which is essential in chip manufacturing for managing heat, detecting leaks, and maintaining stable temperatures in fabrication equipment. For many of these uses, there is no real substitute.
About 38 percent of the world’s helium is produced by Qatar, where large extraction facilities are tied to the natural gas industry. This concentration means that disruptions can quickly ripple through the global supply chain.
National oil company QatarEnergy declared force majeure on March 4, after stopping its gas production and downstream operations due to ongoing attacks. Downstream facilities turn gas into other products, including urea, polymers, methanol, and aluminum.
South Korea’s Industry Ministry said the country also depends on the Middle East for 14 other materials in chipmaking, such as bromine and some chip-inspection equipment. While some of these materials can be sourced domestically or from other markets, shifting suppliers in the semiconductor sector is difficult because chipmakers need to test and validate new sources to meet strict purity standards.
Companies say the situation is manageable for now. As reported by Reuters, SK Hynix said it has secured diverse supply chains and maintains sufficient helium inventories, adding that there is “almost no chance” its operations would be affected in the near term.
Contract chipmaker TSMC similarly said it does not currently anticipate a significant impact, while GlobalFoundries stated it is in direct contact with suppliers and has mitigation plans in place.
Stuck in Transit
Even if Qatar’s gas production restarts, the semiconductor industry is vulnerable to disruptions in regional shipping routes. Much of the world’s energy and petrochemical exports from the Persian Gulf pass through the Strait of Hormuz, a key maritime choke point.
If shipping through this corridor is interrupted for an extended period, it could slow the movement of industrial gases and petrochemicals that chipmakers rely on. Disruptions to oil and gas exports from the region have also already pushed global energy prices higher: Brent crude, the European benchmark, is priced at $80 per barrel at the time of publication.
Energy costs are a major factor in semiconductor production. Fabrication plants run large clean rooms that need constant electricity and cooling, so chipmakers are sensitive to changes in global energy prices. Industry representatives in South Korea warned that a prolonged conflict could push energy prices higher, likely leading to higher semiconductor production costs and potentially higher chip prices.
These risks come as semiconductor supply chains are already stretched by growing demand from AI computing. Chip demand from AI data center operators has tightened supply across several electronics sectors, including smartphones, laptops, and automobiles.
A Long-Term Problem
For now, the immediate impact on chip production is unclear. Major chipmakers usually maintain a mix of suppliers and stockpile specialty gases and chemicals to help weather short-term disruptions.
But if instability in the region continues, pressure on supply chains will likely grow. A drawn-out conflict that hits energy infrastructure, export facilities, or shipping routes could slowly squeeze the global supply of materials needed for chipmaking.
This could delay plans by major technology companies to expand artificial intelligence infrastructure in the Middle East. Firms such as Amazon, Microsoft, and Nvidia have been positioning the UAE as a hub for AI computing capacity.
This story originally appeared on WIRED Middle East.
Tech
Save up to $600 With These Mattress Firm Coupons and Deals
Chances are that when you google “mattress store near me,” one of the first results you will see is Mattress Firm. This brick and mortar titan carries both established mattress brands like Serta and Sealy, as well as many online brands, like Purple, letting you go see for yourself if it’ll be the mattress for you. And if you were looking for an excuse to hop in the car and head over, we have a Mattress Firm coupon available right now, as well as tons of Mattress Firm promo codes to save big on those big (and small) purchases. Fingers crossed that you could start sleeping better, potentially as soon as tonight.
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Free Adjustable Base (Up to $499 Value) With Select Mattresses
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Score Up to $300 in Instant Credits and Gifts
Mattress Firm’s got a gift for you, just ‘cuz. For those eyeballing Tempur-Pedic, Sealy, and Sterns & Foster in particular, it’s your lucky day, as there are Mattress Firm coupon codes for all three of these brands.
Starting with Tempur-Pedic, when you buy a qualifying Tempur-Pedic mattress, you can receive a $300 Instant Credit on these adjustable bases: Tempur-Ergo, Tempur-Ergo Smart Base, Tempur-Ergo ProSmart Base, Tempur-Ergo ProSmart Air Base, or the Sealy Ease Base. Use code TEMPURGIFT. You can also get a $300 credit toward these same adjustable bases when you purchase a qualifying Stearns & Foster mattress: use code STEARNSGIFT at checkout.
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Take 20% Off With Military, Medical, Student, or Teacher Discounts
Sleep is a necessity for everyone. But for those who work all day on their feet, and have to be dialed in at all times, sleep is critical. This is especially true for first responders, nurses, doctors, and medical professionals. As a way to say “thank you” for all that you do, there’s a special mattress firm discount just for you. Use the Mattress Firm first responder discount for 20% off select purchases. It’s for one-time use, but renews every 90 days when you re-verify your status.
For military members, as a way to thank you for your service, you can use the Mattress Firm military discount for 20% off select purchases as well. It’s a one-time use code, but re-verify your status every 90 days, and you can get a new one!
If you’re a teacher or student, there’s also a Mattress Firm discount for you, too. To help you bounce back after long days teaching, or late nights studying, use this Mattress Firm student discount code for 20% off select purchases. Like the first responder and military coupons, it’s a one-time usage code that can be renewed every 90 days when you re-verify your status.
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