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Comment by datadrivenangel | Hacker News Reader

"So are we in an A.I. bubble? It sure looks like it to me. That doesn’t mean we won’t get large economic advances (and disruptions) out of A.I. "

This is the most plausible looking path forward: LLMs + conventional ML + conventional software inverts how our economy operates over the next few decades, but over the next few years a lot of people are going to lose a lot of money when the singularity is actually a sigmoid curve.

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Its not a sigmoid curve but rather the typical hype cycle curve. LLMs will surely not "invert" the economy (whatever that means). LLMs will just be tiny part of it like any other tool

What is an inverted economy?

Poor people pay rich people to work?

Renters paying mortgage holders to pay their mortgage in exchange for conceptual gains like "freedom"

We've been there for a long fucking time

If you're in a market where landlords can charge the full mortgage you desperately need more housing. Rent around here costs slightly more than the interest on the mortgage.

Every city is like this

I don’t think there’s anywhere in the UK where a mortgage is more than the rent for the same property. Renters are generally the breadwinners in their landlord’s families.

Well in that case, yeah, I can't imagine any reason you would rent. But in my neck of the woods renting a place is a little more than half the cost of the equivalent mortgage on the same property.

Where on earth is this land of beneficent landlords? Do you live in Hobbiton or on the island from Lost

You would rent because you’d lack the deposit and income a bank would require of you for the same property.

Now that I have a mortgage, it’s much less than the rent I was paying for a similar property. This is the case in most developed cities on Earth.

> Now that I have a mortgage, it’s much less than the rent I was paying for a similar property.

This is what my parents kept telling me would happen but no one in my late 20s social circle who've bought houses (including myself) has been able to make it happen. Even my friends who got locked in at the 2% interest rates still pay about $300 more than the equivalent rent. I live in a, by population, a top 30 city in the US and actually live in the city, not its "surrounding metro area."

I don't know what would make the US so special with such incredibly cheap rents.

In much of Europe, small landlords buy with a mortgage, cover it with the rent and still extract a profit on top. Why would they buy-to-let otherwise?

It’s when tuna finally starts snatching man from the sea

ambiguous enough to work no matter who you're talking to

Longer term (10-30 years), I see LLMs allowing for far more automation within software, which means that an "AI native" company may only need 5-10% of the people that a conventional company does for the same level of delivery. As the technology improves past the point where humans are competitive, eventually it will be the rich people with jobs doing all the work and we need to figure out what happens when we end up with a centrally planned economy because most people don't really have money...

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