Tech certainly can drive deflation by lowering costs and boosting productivity. Yet, GDP reflects a mix of factors beyond technology, which means its decline might stem from multiple forces working together without a single explanation.
That is true. There are more than one force at play. However, technology can underlie many sectors, causing deflationary forces within an entire industry.
It is similar to energy, how that drives many costs down or up.
Absolutely, technology often exerts a broad influence, reshaping cost structures across sectors much like energy does, which can contribute to broader deflationary pressures without being the sole factor driving GDP trends
As software's share of the economy grows, we may indeed see more deflation as efficiency gains pile up, especially with AI's expanding role in reducing operational costs across sectors
Robotics will likely accelerate deflationary trends, but history shows tech also creates new job roles. It’s a dynamic shift as both labor markets and industries adapt to evolving tech landscapes
Tech certainly can drive deflation by lowering costs and boosting productivity. Yet, GDP reflects a mix of factors beyond technology, which means its decline might stem from multiple forces working together without a single explanation.
That is true. There are more than one force at play. However, technology can underlie many sectors, causing deflationary forces within an entire industry.
It is similar to energy, how that drives many costs down or up.
Absolutely, technology often exerts a broad influence, reshaping cost structures across sectors much like energy does, which can contribute to broader deflationary pressures without being the sole factor driving GDP trends
My view is that as the percentage of the economy which is software related, the faster the deflationary forces will show up.
AI is a massive component in this.
As software's share of the economy grows, we may indeed see more deflation as efficiency gains pile up, especially with AI's expanding role in reducing operational costs across sectors
Robotics is going to be a massive disruption. Job loss is extremely deflationary.
Robotics will likely accelerate deflationary trends, but history shows tech also creates new job roles. It’s a dynamic shift as both labor markets and industries adapt to evolving tech landscapes