Onyx Darkmatter -> RE: Automation (3/8/2017 14:28:40)
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From a Business perspective, Automation is extremely healthy to help companies earn more revenue, which could mean expanding a company. The only expense that Automated Companies has will be maintenance and repair expense, but between a once-in-a-while expense and a weekly Salaries Expense, it would be a lot cheaper to do the former. But from a Working Class perspective, it heavily enforces Structural Unemployment and can create an even-bigger Wealth Inequality gap. Another big issue is that the employee's skills become useless in the workforce, since the skills they possess become inferior compared to the work of machines. There are 2 solutions for Automation. The first one is obviously higher taxes, and the second is education and training sessions. Similar to why Protectionism exists, Higher Taxes on Automated companies helps protect the Working Class. Since a company's main goal is to earn a profit and opportunity costs comes in a big play, it will force companies to use Human Capital (assuming the Automated Taxes are higher than the Salaries Expenses). The other alternative is to either educate the future generations of computer languages, or to train people on machine operations. Regardless what anyone thinks, we ALWAYS need humans to build and fix machines (you can argue that Machines can build other Machines, but you can't depend on Machines on transporting goods and services, nor can you depend on Machines to repair themselves). If everyone understands computer languages and parts, then I do believe that this will help solve the Structural Unemployment and not make employees worse-off. Now, the only problem I see about this is that I'm unsure how this will affect the Demand (if there are more demand for Machinery workers, then it will attract people to do the work. But if there's a surplus of the people with Machinery skills, then it might not be any different than working at McDonalds). Between the two, High Taxes seems like the best solution in my eyes.
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