Part 3/16:
Now we're facing the age of AI, and job automation is one of the greatest public concerns. Economists have jumped to their natural reaction - we need automation and technological progress for the economy to grow and for workers to ultimately be better off. But the big question is whether this time is different.
Gus: You have a model of how to think about artificial intelligence and wages, where one of the things you conclude is that human wages depend on the pace of automation. Why is it that wages will rise if automation happens slowly?