๐จBREAKING: Two researchers from UPenn and Boston University just published a paper that should be uncomfortable reading for every CEO automating their workforce right now.
The argument is straightforward. Every company replacing workers with AI is also eliminating its own future customers. Laid off workers stop spending. Enough of them stop spending and nobody can afford to buy anything. The companies that fired everyone end up selling into an economy with no purchasing power left.
Every executive can see this. The math is not complicated. But here is why nobody stops.
If you do not automate, your competitor does. They cut costs, lower prices, take your market share, and you collapse anyway. So every company automates knowing it is collectively destructive because the alternative is dying alone while everyone else survives. The researchers proved this is a Prisoner's Dilemma playing out in real time.
The numbers are already moving. Block cut nearly half its 10,000 employees this year. Jack Dorsey said AI made those roles unnecessary and that within the next year the majority of companies will reach the same conclusion. Salesforce replaced 4,000 customer support agents with AI. Goldman Sachs deployed a coding tool that lets one engineer do the work of five. Over 100,000 tech workers were laid off in 2025 and AI was cited as the primary driver in more than half those cases. 80% of US workers hold jobs with tasks susceptible to AI automation.
The researchers tested every proposed solution. Universal basic income does not change a single company's incentive to automate. Capital income taxes adjust profit levels but not the per-task decision to replace a human. Collective bargaining cannot hold because automating is always the dominant strategy.
They also identified what they call a Red Queen effect. Better AI does not solve the problem, it accelerates it. Every company chases faster automation to gain market share over rivals but at the end everyone has automated equally, the gains cancel out, and the only thing left is more destroyed demand.
The one thing the math says could work is a Pigouvian automation tax. A per-task charge that forces companies to account for the demand they destroy each time they replace a worker.
The conclusion is that this is not a transfer of wealth from workers to owners. Both sides lose. Workers lose income. Companies lose customers. It is a deadweight loss with no market mechanism to stop it on its own.
(Link in the comment)
LIMPOPO WOMAN AREESTED FOR OPERATING HER OWN PRISON
A 54-year-old woman from NkowaNkowa in Limpopo has been arrested for attempting to open her own prison. It is alleged that the woman opened the prison at his own home yard in December 2, 2025. The woman who is a tavern owner arrested few men who were causing violence when drunk and locked them until they are sober or paid their bills.
According to reports, she detained 36 people for drinking at her tavern without paying and those that owed her.
The woman also used the prison to arrest men who beat up women when drunk at the tavern.
โWe don't have a trillion-dollar debt because we haven't taxed enough, we have a trillion-dollar debt because we spend too much.โ
โ Ronald Reagan
Our latest academic paper has just been published in the Sport, Business and Management: An International Journal
Title: Sports as service: customer engagement in participant sports through the lens of marathons
https://t.co/L8FNCPOzBU
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๐จ The feeling among some of the players is that Amorimโs system simply doesnโt suit the current squad, and compromise is the only answer. [@ChrisWheelerDM]
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