Source: Yaschamounk
Garicano's framing sidesteps the complement-or-replacement binary by naming the actual economic mechanisms at play—which Silicon Valley's techno-optimists routinely miss. The gap between venture-backed automation rhetoric and real labor market outcomes isn't a timing problem. It reflects how AI deployment decisions depend on institutional constraints, wage structures, and competitive dynamics that tech founders have little reason to understand. What matters is whether organizations choose to augment workers or eliminate roles. That choice is driven by economics and power, not capability. That distinction determines whose jobs survive.