A New Theory of Economics, Co-Authored with an AI
Working on Economics with Fable 5
After months of back-and-forth with AI models like Opus and Fable, Wilson I. has developed a new economic theory that merges two concepts from Nobel laureate Daron Acemoglu's work. The theory, presented in both a personal essay and a formal paper co-written with Fable, argues that technological 'reinstatement' is just a form of 'augmentation' that crosses an economic threshold. It predicts that technological progress tends to become harmful over time, with the Industrial Revolution as a special case.
Augmentation improves until suddenly the job description comes into being.
- skew-aberration
This is a topic I'm interested in, but the presentation and exposition on the website leaves a lot to be desired. Yes, it does make you sound like a crank.
Almost all of the theory and predictions presented seems to be those of regular classical economics, per Smith, Riccardo, and particularly George. You can find them in Wealth of Nations, Progress and Poverty. This surprises people who have been failed by our education systems. There are still many people writing about this exact topic now - the author does mention e.g Stiglitz.
The author seems to be overcome by the explanatory power of a 150-250 year-old well-established economic theory, of which fable has built a fairly general (novel? improved?) macro model for him, including the effects of certain tax policies. They present this as a new theory of economics rather than a new macro model.
It's very off-putting as a reader - you can't distinguish at a glance between what the author claims to have contributed vs merely discovered by reading about Georgism. Established concepts are not referred to be their usual names, etc.
- estearum
As a Georgist I'm naturally very sympathetic to anything in this vein, but as you say: dense!
What do you believe are the most important contributions here over standard Georgism or Ricardo's theory of rents?
- dash2
Guys you realise you can just read the Journal of Economic Perspectives for free? Its articles are written for the ordinary reader, by experts who have spent big chunks of their lives studying their specialty. They don't try to sound like a teenage girl, they don't boast about being able to do High School algebra, and they contain ideas that are less than one hundred and fifty years old. Some of them might even be new!
Sheesh.
- kid64
https://www.bgnes.com/technology/chatgpt-convinced-canadian-...
- delichon
> And the intuitive idea for this is that the wage is set by technology and access to physically scarce things (land as an example, but tbh you can add other things you think are scarce), and then it’s scaled by how efficiently machines can make machines and how much labor you need to make machines. That’s it.
There is no term for human value here, and it is values that set prices. Scarcity is not itself a value. A particular snowflake or UUID being unique adds no demand. Wages are set in the context of every possible opportunity that the employer can imagine, as ordered by values. So a wage-predicting equation needs arguments that measure all of those value-weighted opportunities against paying a given wage, but this one doesn't. And "That's it" seems to declare them not relevant.