Part 5/16:
If we automate a little bit, we can suddenly produce the automated goods much cheaper, and that means all the other goods rise in value, and the labor producing those other goods and services will rise in value. There's this race between automation and what is still left for humans, and that determines the level of wages.
Gus: So you're saying that if automation happens gradually, it can actually increase wages, but if it happens too quickly, it could decrease wages. Why is that?