The Economy Is Fundamentally Changing

I've said this in different ways in previous blog posts, but the truth of the matter is that the economy is changing due to technology. Previously I've shared the YouTube video Humans Need Not Apply to highlight the technological revolution that is underway. We are undergoing tremendous amounts of change. The Industrial Revolution was the last big societal change, but I equate what we are going through to the invention of the printing press. You can blame trade, automation, etc., but really it is the Internet that has changed how we function. Look at every aspect of your personal and professional work lives and how much technology enabled by the Internet has changed us.

As we approach the end of this presidential election cycle (my wife and I voted last night at the kitchen table) you can see how Donald Trump touched a nerve in the people who have been left behind. Education is one solution, but in reality, a person entering the workforce today is going to have to reinvent themselves several times over in their work life, if there is a work life, to stay competitive. As I look at the future today, I'm glad I'm as old as I am.

Even service-level jobs are going to be gone. Have you been out to dine recently at national chains? You can pay your bill at a little kiosk on the table. At Panera Bread, my wife and I used their automated tablets to order our food. Do you think that a national chain like McDonald's can't come up with a mechanical system that makes a hamburger, puts fries in hot oil and pulls them out? When the minimum wage gets to a point where it is cost effective to do so, those jobs will be gone too.

There might be some hope in the future for those people and industries that adapt. Body by Fisher, an old GM name, had a logo of a wagon carriage on it, since that manufacturer converted from horse-drawn carriages to cars. The buggy whip people didn't make that transition.