Why the Robot Revolution Risks an Economic ‘Death Spiral’ for Australia

By Greg Jericho

In promoting his 10-year tax plan, Malcolm Turnbull suggested people want governments to undertake “long term planning”. However, a new research paper out this week from the IMF highlights how economies could be set for a major shake-up in the future and how sticking with the belief that better wages for workers comes from reducing company tax in order to spur capital investment is a rather wishful proposition.

Economics research papers generally are not known for their optimism, but the IMF paper titled “Should We Fear the Robot Revolution? (The Correct Answer is Yes)” fairly hits you between the eyes with its pessimism.

This research goes very much to the heart of primary political debate in this country about jobs, equality and the role of government.

Read the full article in The Guardian.

I just want to point out that I wrote a story about this very thing, but in Canada … not published yet, so there’s my pitch … but you know, there’s a simple solution. Just tax capital gains as income. You wouldn’t even have to adjust the tax brackets that way. It would easily pay for a Basic Income for everyone, and then artists could make art, clergypeople could serve their congregations, and no one would have to worry about where their basic meals were coming from. Just sayin’.

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