AI is Changing the World - You Have to Be an Investor
Labour is getting outdated
The world is generally heading into a scenario where human labour is not commensurate with financial rewards. It is not just about the latest breakthroughs in AI. It is about the broad advancement in technology and automation.
Before now, we assumed that only repetitive jobs would be replaced by automation and AI. But right now, it seems many of the analytical jobs would be taken over by AI. This will increase efficiency. And lead to more productivity.
This would change the labour market forever. Already, companies with a lighter labour force are more productive than those who are still labour-heavy.
And as you can see already, the unionized workers are giving auto companies lots of problems. This will never happen with automation and AI. And companies are aware of that already. Everyone is in it for profit maximization.
Yes, if this labour transition is not handled well, the world will find itself in the greatest crisis ever. And that is the wealth inequality crisis. If you think wealth is unequally distributed now, wait till AI and automation are fully adopted into every fabric of the economy.
Millions of jobs will be wiped out. And if you are not an entrepreneur or investor, you may find yourself holding the short end of the stick. Even entrepreneurs will be wiped out. The only difference is that entrepreneurs can bounce back.
This leaves only one option - investing. You have to be an investor. And by that, I don't mean you gamble on the stock market.
What It Means to be an Investor
I define an investor as someone who makes money from intellectual property. It could be the intellectual property of the person, a company, or a business.
The opposite of this is someone who makes money from labour or doing work. The trend of making money from labour or work is going away. And nothing can stop it.
If you don't want to be among the big losers who are depending on the labour market, you have to make the switch now. This is actually a transition period.
If you don't have a personal brand, AI can replace what you do that you believe is valuable. This is why you have to take this transition period seriously. Wake up and make moves for yourself.
You could be an investor who puts money in businesses. You could also be an investor who creates intellectual property that people can bet on.
The point here is that in the future the difference between the rich and the poor will be intellectual property. The rich have intellectual property. The poor don't. This is what AI (and the latest tech trends) is leading to.
Change in the World
The cities are going to change tremendously. However, suburbs aren't going to change much. In fact, I'm guessing the rich are going to be living in the suburbs while the cities are going to be filled with mostly poor people.
If you think looking for opportunities is hard in today's world, it will be much harder in 50 years. Due to automation and AI the rich can work from anywhere. And that will be mostly the suburbs.
Face-to-face meetings can always be conducted in the metaverse. And socially, wealth will be drained from cities because of high taxes. And taxes will be high in cities because the government officials will keep going deeper and deeper into debt.
The world is changing very fast. Pay attention. Doing some kind of labour for money is deteriorating fast. Not that it will completely disappear. It will just be on the lower scale of income. And it will be very hard for anyone to be rich that way.
If you are already too old that this doesn't affect you, then plan for your kids. Life is about to get way different from what we've known over the last 100 years.
AI and automation are changing the future. You have to be an investor. If you want to stay rich, the bulk of your earnings has to be coming from investments or intellectual property.
Making money from doing work or any kind of labour is fast growing out of date. Prepare for those changes.