Yes its going to be bigger change than we can really conceive of. Most people even those who actually think about these things are so short-sighted, they say things like 'wow that is going to suck for low end manual workers. Good thing I do knowledge work, a computer can never replace that.'
I argue that even though we are at the very early stages of automation.. we are already seeing profound changes across the Western industrialized nations. Britain is now losing half a million net jobs every year like clock work.
It shakes the entire basis of our economy. An economy driven by the mass consumer market.. Those consumers earning money to consume with from selling their labour in a competitive labour market. If you upset that balance in the labour market between supply and demand you can cripple wages and thus their ability to consume.
Traktion argues powerfully that declining prices is a good thing.. and the price of things will deflate faster than wages fall. One minor problem our monetary system is a debt backed system, where the nominal amount of hte money you owe remains the same.. and it only really works with inflation.
Otherwise it is mathematically impossible for everyone to pay back all the loans. The collapse of the banking system is a logical outcome of a broad deflation. And that is just one of the consequences.
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