I. Executive Summary
The global economy stands at the edge of a transformation unparalleled in human history, driven by the exponential advancement of Artificial Intelligence (AI) and the looming potential of Artificial General Intelligence (AGI), and beyond. This report provides an analysis of the profound economic and social impacts of this transition, with a particular focus on employment dynamics and the emergence of Post-Labor Economics (PLE).
The core finding is that the displacement of human labor by intelligent automation is an accelerating reality, rendering traditional economic models and social contracts increasingly obsolete.
The progression towards a post-Labor Economy is characterized by a systemic shock rather than a gradual evolution. AI's capacity to perform tasks "better, faster, cheaper, and safer" than humans make widespread labor substitution an economic inevitability for businesses seeking to remain competitive. This is compounded by an "automation cliff," where AI development outpaces predicted timelines by decades, suggesting that societal adaptation mechanisms, such as gradual reskilling and industry shifts, will prove insufficient without immediate and substantial strategic interventions.
The central challenge extends beyond technological unemployment. It necessitates fundamental re-architecting of economic participation and value distribution in a system where human labor is no longer the primary economic driver. The "economic agency paradox" highlights this: automation promises liberation from toil and enhanced productivity yet simultaneously threatens the wage-based purchasing power that underpins consumer demand and economic stability.
Key Recommendations
- • Explore equitable wealth distribution through new ownership models
- • Ensure demand-side stability via diversified income sources beyond wages
- • Establish robust, adaptive governance frameworks for societal shifts
- • Implement proactive strategic interventions to harness AI benefits