Raw LLM Responses

It's very simple. AI labor won't be taxed as wage earnings, so these companies will quickly take every job that can be done only with a phone or PC. And then, it will strip from all other jobs the tasks that can be done with phone or PC, meaning the workload for those jobs can be done by fewer people. This will crash the labor market via ridiculous oversupply. This drops the value of human labor which can be done by AI (call this "mind labor" to contrast with "body labor" which requires a body to do). AI providers will compete with each other to reduce their prices per labor hour. Current mind laborers will have to change jobs to body jobs. So that puts market pressure on current body laborers too. Everyone's wages will go down extremely far, to the point where cultural standards of living change. Single lower-class people will live in coffin hotels, families and roommates in efficiency studio apartments. Developers will take advantage of emergency regulatory relief to build inhumanely crowded apartment projects on vacant lots. Underclass people will live in disorganized slums and tent cities. In the short term, there'll be a burst of infrastructure spending which will help prop up contractors and builders, in low-quality rental housing, server farm construction, and power generation. We'll see an increased number of jobs for body workers because with decreased price the demand increases. Low-paying jobs which didn't exist before will emerge. More personal care workers like aestheticians and massage, janitors, landscapers, washing of windows, detailing of cars, pet care. The wealthy class will indulge in the hiring of personal servants and attendants, where previously only the most aristocratic could maintain a significant staff. Because of extreme inequality there will be a lot more crime and civil strife, so the ranks of police and loyal bodyguards willing to shoot to kill will expand. In general, with 90% of people unable to afford literally anything, the existing number of body workers should suffice. Dentists, doctors, nurses, auto mechanics, etc. Because there is more competition, the average worker quality will improve, with the worse of them falling out into the underclass or some other body work field. And the lower number of customers will mean they get better service and less waiting time. But those body workers will each make less money. Companies that need AI labor services to do their work will pay the much lower AI labor costs, or go out of business. So they will, of course. People who have ownership interests in AI companies will still make money, and will form the bulk of the upper class. The mostly-illusory middle class will be made up of their kapos and the most successful small business owners and cash-outs of the struggling masses. The lower class will be people doing body labor. The untouchable caste of underclass will be people unable or unwilling to perform body labor; the disabled, elderly, weak, or those whose entire skill-set is in mind labor. Medicare/medicaid/social security will fail. It might still exist in name but the benefits will be so small that you can't rely on them. The government will be able to just barely keep underclass and lower-class people fed and alive. Not because of massive economic benefits, but mainly to keep population up, because if there's ever a war you need humans to do the dirty work on the ground in a chaotic and destroyed environment. Military service will be the main method for underclass people to rise to the point where they aren't starving to death in the cold as an accepted typical standard of living. As for the AI mind labor output, it will of course be extremely bad for a while. But we'll all put up with it because we won't have a choice. Will you refuse to use one cell phone provider or insurance company because they use AI customer service that barely functions, when they're all doing it?