Obama Must Face the Rise of the Robots

Robots pose “the central economic dilemma for the Obama era,” suggests Edward Luce in the Financial Times, and that extends to future US administrations as well as leaders and workers in other nations. “With each month, the US economy becomes steadily more automated. In January the US economy added just 4,000 manufacturing jobs, and the net increase since July is zero,” Luce writes. “Yet last month, manufacturing activity rose by its fastest rate since April, according to the Institute for Supply Management.” Germany and Japan dominate the industrial robot market, and China shows keen interest as both customer and supplier. Expect to see more robots, online interactions and self-service lines, all of which increase productivity while shrinking the labor force and reducing wages. Current economic trends are unsustainable – limited job creation and low wages combined with reliable social benefits. Few in the developed world are prepared for the rapid and imminent economic change. – YaleGlobal