Wednesday , November 6 2024
Home / Mike Norman Economics / Larry Elliot – Don’t believe the World Bank – robots will steal our wages

Larry Elliot – Don’t believe the World Bank – robots will steal our wages

Summary:
Automation will bring growth, but history tells us labour’s share of national income will decline The World Bank has a reassuring message for those fearful of being made obsolete by automation. The robot age is nothing to be worried about. Just like all previous waves of technological advance, the fourth industrial revolution will create rather than destroy jobs, so fears of mass unemployment are largely unfounded. Nor should we be concerned that the arrival of the new machine age is going to widen the gap between rich and poor, because the idea that the world is becoming a less equal place is more perception than reality. Automation, according to the bank’s World Development Report, is an opportunity not a threat. Sure, some jobs will go but others will be created to meet a range of

Topics:
Mike Norman considers the following as important:

This could be interesting, too:

Lars Pålsson Syll writes What pulls me through in this world of troubles

Mike Norman writes Escobar: The Roadblocks Ahead For The Sovereign Harmonious Multi-Nodal World — Pepe Escobar

Lars Pålsson Syll writes Best match point ever

New Economics Foundation writes The autumn budget: A step in the right direction but still falling short

Automation will bring growth, but history tells us labour’s share of national income will decline

The World Bank has a reassuring message for those fearful of being made obsolete by automation. The robot age is nothing to be worried about. Just like all previous waves of technological advance, the fourth industrial revolution will create rather than destroy jobs, so fears of mass unemployment are largely unfounded.
Nor should we be concerned that the arrival of the new machine age is going to widen the gap between rich and poor, because the idea that the world is becoming a less equal place is more perception than reality.
Automation, according to the bank’s World Development Report, is an opportunity not a threat. Sure, some jobs will go but others will be created to meet a range of future needs of which we are currently unaware. Since automation cannot be stopped, governments need to do two things. Brain-up their populations through investment in education so that they have the necessary skills for the robot age, and reduce the burdens on business by getting rid of harmful labour laws and restrictions. The need for greater deregulation to prevent companies choosing to use robots rather than humans is a constant theme.
In essence, the World Bank has come up with a rehashed form of trickle-down theory that Margaret Thatcher would happily have endorsed. Private companies should be allowed to do whatever they consider is in their own best interests, and politicians should get out of the way.
 The Guardian


Mike Norman
Mike Norman is an economist and veteran trader whose career has spanned over 30 years on Wall Street. He is a former member and trader on the CME, NYMEX, COMEX and NYFE and he managed money for one of the largest hedge funds and ran a prop trading desk for Credit Suisse.

Leave a Reply

Your email address will not be published. Required fields are marked *