The 'economic singularity' is defined as the point when AI can perform almost all jobs currently done by humans for money, more efficiently and effectively. Some experts predict this could occur within the next 10-20 years. The rapid advancement of AI and automation is already leading to job displacement across various sectors, with companies increasingly investing in AI-driven services while reducing human headcount.
This shift raises concerns about potential mass unemployment and increased income inequality. While some economists argue that technological advancements have historically created new jobs, the nature of AI, with its capacity for cognitive automation, suggests a different trajectory. Unlike previous forms of automation that primarily replaced manual labour, AI can substitute human knowledge work, potentially leading to a scenario where a significant portion of the population is unable to secure employment.
To mitigate the negative impacts of this shift, experts suggest proactive measures such as guaranteeing a basic standard of living, utilising AI to reduce the cost of essential goods and services, and focusing on applying AI to enhance human well-being rather than solely maximising shareholder returns. The key challenge lies in ensuring a fair distribution of wealth generated by AI-driven systems and adapting societal structures to a world where traditional employment may no longer be the primary source of income for many.
