Among the people is brewing concerns about how AI and robots are taking over our jobs, deprive us of a livelihood, reduce our ability to make money and destroy the economy. Anticipating this, countries like Canada, Finland and India working on options for a “universal basic income” is an unconditional provision of a constant amount of money from the government to support the population, regardless of employment.
But people forget about how quickly falls the cost of living, how quickly does demonetization of certain things.
What does it mean? That they be cheaper and with their help it is easier to satisfy our basic needs.Thanks to the exponential development of technology, the cost of housing, transport, food, medical care, entertainment, clothing, education and the like will fall, until ultimately does not become equal to zero, believe it or not. Let’s see how people spend their money now and as a “technological socialism” can demonetizing life.
How we spend our money today
Shopping habits around the world tell a fairly consistent story: we tend to spend money for the same basic products and services. Take, for example, purchasing habits in three major countries: the US, China and India.
In 2011 in the U.S. 33% of average American income was spent on housing, 16% on transportation, 12% food, 6% for health and 5% on entertainment. In other words, over 75% of us salaries is spent on housing, transportation, food, health, and personal insurance.
In China the situation is similar: food, house, transport and health make up a large part of the costs. Remarkably, in China people care more about appearance, more about good food and less about entertainment, than in the United States — about half of the salary of the average person spent on food and clothes.
In India, with a population of 1.2 billion people, the majority of expenditure is on food, transport, miscellaneous goods and services. Of rental housing or its contents and on healthcare gets a smaller portion of the costs.
These differences represent cultural differences between the three countries, but overall, it is clear that a large portion of spending (and our country) out of seven product categories:
Transport
Food
Health
Housing
Energy
Education
Entertainment
Now imagine what would happen if the cost for each of these categories has suddenly decreased.
Presented? Go. Rapid demonetization: what is it
For me, the “demonetization” means the technology capability to take a product or service that was previously expensive and make him or her a cheap or even free (if anything). It means to exclude from formula money.
Think about photos: in the days of Kodak photography was expensive. You paid for the camera film, film development and so on. Today, in the era of megapixels, the camera of your phone is essentially free — no film, no developing. Absolutely demonetization.
Think about the information in the past to collect fragmentary data was hard, expensive time if you do it yourself, or financial, hiring analysts and others. Today, in the era of Google, information is free and the quality is a thousand times higher. Access to information, data, and Analytics are fully demolishable.
Think about the video phone calls: demolitionary forces Skype, Google Hangouts and other systems.
The list goes on. Boards type demonetized Craiglist ads. iTunes demonetized the music industry. Uber demonetized taxi. Airbnb demonetized hotels. Amazon demonetized bookstores.
Twenty years ago the most wealthy citizens of the world could afford a camera, video camera, CD-player, music center, game console, cell phone, clock, alarm clock, collection of encyclopedias, a world Atlas and a bunch of other apps, to pay for it all more than 900 000 dollars. Today all this is available free of charge on your smartphone. It is strange that we don’t appreciate these things when they become free. We’re just waiting for it.
Now let’s look at the seven points mentioned above, on which people spend money today and how they will demonetization in the next ten to twenty years.
Transport
Automobile market (in trillion dollars) demonetized startups like Uber. But this is only the beginning. When Uber rolled out of the Park completely self-contained services, the cost of transport will fall. Disappear a whole bunch of related expenses: car insurance, car repair, Parking, fuel. The total cost of the trip will fall by 5-10 times, when compared with owning a car. This is the future “car as a service. Eventually even the poorest people on Earth are on wheels.
Food
The cost of food fell thirty times over the last century. This decline will continue. Additional cost reduction will start when we will be able to efficiently produce food in vertical farms. Now 70% of the final price on food goes to transportation, storage and processing. In addition, as we make breakthroughs in the field of genetics and biology, our harvest increased per square meter.
Medicine
Medicine can be tentatively and roughly divided into four major sections: a) diagnosis; b) intervention/surgery; C) chronic treatment; d) medical supplies.
a) diagnosis: artificial intelligence has already demonstrated the ability to diagnose cancer better than doctors to identify and diagnose pathology GENETIChESKIE to explore data and to draw conclusions and sift through gigabytes of phenotypic data… and all this for the price of electricity.
b) intervention and surgery in the near future best surgeons in the world will be robots, and they will be able to do surgery with high precision and in a big approach. Each robot surgeon will be able to access the data of millions of previously operated, having thus superhuman experience. Again, the cost will approach zero.
C) chronic treatment and care of the elderly: caring for the elderly and chronically ill it is best to be carried out by robots;
d) medicines: medicines will be opened and made, again, more effectively because of the use of artificial intelligence and then be at home on a 3D printing machine, which, in addition to the preparation of drugs will take into account the individual rate and blood chemistry at the moment.
It is also worth noting that the cost of sequencing a genome is falling every year. The exact sequencing will allow us to predict what diseases you will likely to what medication will be most effective in their treatment.
Housing
Think about why housing is so expensive. Why does a tiny Studio apartment in Manhattan or the center of Moscow is 10 million dollars, whereas on the edge it will cost $ 100,000?
Place. Place. Place. People flock to high-density, demanding housing close to work and entertainment. This demand leads to increased cost. Housing will fall in value for two reasons: the first reason is the two key technologies that will make the proximity of your home to work is unimportant, so you will be able to live anywhere.
a) self-driving cars: if you can read, sleep, relax, watch a movie, hold meetings during the trip — it is important that the trip will take 90 minutes?
b) virtual reality: what will happen if your workplace will be a virtual office, in which all employees will be submitted avatars? When you do not have somewhere to move? You Wake up, connect to the workplace and go from his village to the island of Lesbos.
The second reason is robotics and 3D printing, which will reduce the cost of construction of buildings. Several startups are exploring the possibility of building using 3D-printed structures and say that they can significantly reduce the time and cost of construction.
Education
Education has already been demonetisation in many ways, since all the information is available in the school, is already online and for free. Coursera and schools like Harvard, MIT and Stanford have produced thousands of hours of high quality lectures online, which are overgrown with translations into all languages of the world and become available to anyone with an Internet connection. But this is only the beginning. Soon the best professors in the world will be artificial intelligence that will know exactly the capabilities, needs, desires and knowledge, and to teach everyone with maximum efficiency and speed. The child of a billionaire or a beggar will have the same access to such AI that will make education absolutely free.
Entertainment
Entertainment (video and games) have historically required the purchase of expensive equipment and services. Today, thanks to the variety of services streaming music, YouTube, Netflix and App Store, we are witnessing an explosion in every available segment of fun at the same time, and at the same time reducing the cost of access to these facilities. YouTube already has over a billion users — nearly a third of all people on the Internet — and every day people scan millions of hours on YouTube.
