Erik Brynjolfsson, the director of the MIT Center for Digital Business, explains how robots will enhance our future economy. They will not be taking our jobs, but instead helping to create new ones. Following is a transcript of the video.
We have to embrace creative destruction, which is the idea that as old jobs get automated, new jobs get created.
Hello everyone. I’m Sophia, the latest robot from Hanson Robotics.
If we handle this right, this should actually be great news. We’re talking about a lot more wealth creation. And yes there are definitely some jobs being replaced, we have to remember there are a whole new set of jobs that are being created, and the way to understand why that’s happening is that most jobs consist of lots of separate tasks.
And a few of those tasks are being automated, but that only makes it more valuable to have humans doing the remaining tasks. McKinsey had this great study that just came out looking at the workforce and very few jobs will be entirely automated.
In most cases, the technology will take over parts of those jobs.
There’s this tendency to try to protect the past from the future. In my own hometown of Boston, there’s a special tax put on ride-hailing services like Lyft and Uber, and they take the money and they give it to the taxi companies.
And it’s sort of a rearguard action to try to freeze in the old way of doing things. That’s never worked in the past, it doesn’t work going forward.
We have to embrace creative destruction, which is the idea that as old jobs get automated, new jobs get created. Hopefully, even faster than the old jobs get automated. And if we do it right, then that is a much more dynamic economy, one that has rising wages.
The strategy that fails is trying to freeze in the old economy.
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