#161 ·
nimbleharbor10 said:Sweden essentially operates on a universal basic income model. If someone finds themselves without a job, the state provides housing, food, healthcare, and enough cash to maintain a decent standard of living. Without those safety nets in place, you'd be seeing blood in the streets.
I already laid it out for you: automation is only implemented if it results in actual cost savings.
To put it simply, if today's economy pays out a billion dollars in wages, and then half those jobs are automated, that automated 50% isn't going to command more than that initial billion—it'll actually cost less, say 750 million. Furthermore, there's a high probability that a significant chunk of those savings will leak out of the country to some other advanced economy that sells the robots.
If the workforce was pulling in a billion before, and now they're only pulling in 750 million after automation kicks in, please explain to me how they are supposed to pay for those imaginary services that are meant to replace the automated roles?
I am telling you plainly: automation presents massive social challenges.
This whole conversation about the social programs in Sweden—honestly, if we were looking at how things work here in the States, it would actually make sense to:
Actually, Sweden’s unemployment rate is sitting at 30%, not 7%—can you believe that?
Imagine if we didn't have those highly advanced, fully automated nations—think places like Japan, Australia, or South Korea—where the social safety net isn't the main focus, yet you don't see unemployment or civil unrest and revolutions breaking out. Wouldn't that be something?
If that example I shared is tripping you up... here is how the gears actually turn. Let’s say, before automation, workers were bringing in $1 billion. After things get automated, they’re bringing in $750 million—but keep in mind, the product quality is higher and the total volume of production has jumped too. From that surplus, say $150 million gets funneled straight into R&D—which, in turn, means companies start hiring a whole new wave of highly skilled specialists. Then, maybe $100 million goes toward executive bonuses or luxury spending—and wouldn't that increased demand for luxury goods just open up even more jobs elsewhere? On top of all that, the actual cost of the product starts to drop. It’s a cycle, really.
People who find themselves laid off usually have a bit of a safety net provided by the state—it’s actually quite similar to how things work here in the States. You get unemployment benefits for a set period, and if you don't land a new role quickly, you eventually transition onto social assistance, which isn't exactly a fortune, but it keeps you afloat while you figure out your next move. Most people end up using that time to retrain or pick up new skills. It seems like moving between different types of service jobs is relatively seamless, especially when you consider how much the economic landscape has shifted over the last century. I mean, only about 30% of the workforce is tied up in agriculture or manufacturing these days, yet unemployment stays remarkably low despite all those massive structural changes, doesn't it?
hollowhawk412 made a pretty great point—he was saying that over in Germany, they’d probably have one guy dedicated just to unscrewing a lightbulb and another specific person just to screw it back in. And even then? They’d still be sitting there with incredibly low unemployment rates. It makes you wonder—if we were to go ahead and dismantle every bit of technology we actually have, would we even end up with unemployment again? It's an interesting thought, isn't it?