r/PeterExplainsTheJoke • u/Melodic_Judge_129 • 8h ago

Meme needing explanation Petah?

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u/Top_Divide6886 7h ago

More practically it leads to price decreases. When firms are unable to sell their goods and services the first thing they stop spending on is labor.

So deflation usually leads strongly to mass unemployment.

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u/Raptor1210 7h ago

If the tech bros and powers that be get their way, we're going to have mass unemployment regardless.

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u/WarbleDarble 7h ago

So we should make it as bad as possible?

I'm not sure how your comment is an argument against the one you are responding to.

Doubling down on causes for increased unemployment doesn't make one of the causes better.

"Smoking is bad for your health"

"It's okay I drink too much"

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u/Raptor1210 5h ago

Somehow I don't think solution to ever higher prices is infinitely scaling prices further and further?

If prices only ever rise how the hell is it a surprise when things start to break?

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u/forwelpd 4h ago

Indefinite, low inflation - inclusive of wages - is the expected and normal outcome of a continued functioning capitalist system. Inclusive of wages is key here, so the federal minimum wage is failing. Certain aspects of the economy are seeing runaway inflation even while CPI isn't as high as you might expect.

Outside of some really important key metrics (cough housing cough), spending power trends upwards over time at median wages. Prices are supposed to scale infinitely higher - slowly - and so are wages.

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u/Top_Divide6886 4h ago

The ideal inflation rate is typically considered 2%, no higher or lower.

This incentivizes businesses to invest their money into making more of what people will buy instead of just hoarding cash.

2% I think is also manageable for most workers through raises every one in a while.

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u/FoozleGenerator 3h ago

Technological innovation can make things cheaper and competition should force some of the players to adopt cost saving to increase market share.

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u/lFightForTheUsers 4h ago

No you're right, we should simply eat the rich.

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u/mmm_burrito 1h ago

I don't think they're arguing anything, just describing the perceived motivations and goals of the elites.

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u/Upper_Address_2778 10m ago

In what reality is AI hyper scaling better than gradual deflation?

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u/Star_king12 5h ago

Realistically, why would they want to do that? An unemployed person doesn't pay taxes, doesn't buy your shit, doesn't act upon ads they see, they generate very little to no income.

This shit is just wrong.

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u/Raptor1210 5h ago

You're assuming those types are sane and logical, given the wild speculation and clear assumptions we've been seeing for the last decade or so, I'm not sure that is the case.

Logically it doesn't make sense to put the vast majority out of work, if you actually cared about society as a whole, however I've seen very little evidence the AI crowd particularly care about society nor about the well-being of humanity.

I have seen plenty of evidence of personal greed and narcissistic personalities which is probably a more likely answer than anything more altruistic.

I agree shits fucked but turn everyone into serfs isn't the answer the tech bros think it is.

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u/Star_king12 4h ago

You claim that tech bros are insane, that they operate on wild assumptions and clear speculations, yet you yourself do exactly the same things and have a clear misunderstanding of basic economics. Cheers. Good chat.

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u/Ricktor_67 1h ago

They have cut labor as much as they can for the last 30+ years. I think lower prices will be just fine for actual workers. The parasite stocks must go up forever crowd will have a hard time accepting it, but they are like 1% of the population.