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KAPITALKOMPASS #49: Artificial Intelligence and its Consequences for Work and Wealth
- service4100
- Sep 25
- 3 min read
Dear readers,
Hardly any technological development is shaping the current economic debate as much as artificial intelligence (AI) . Similar to the invention of the steam engine in the 18th century, AI marks the beginning of a new era: processes are being automated, workflows are being changed, and asset structures are being reorganized. However, as with every industrial revolution, it is important to distinguish between short-term disruptions and long-term opportunities.
Work in transition
The parallels to industrialization are striking. Routine administrative tasks, standard analyses, and simple services can increasingly be replaced by AI. Millions of jobs could disappear or be fundamentally changed. At the same time, new jobs are emerging – from training algorithms and data analysis to controlling complex systems. However, these new job profiles require different skills and often higher qualifications.
The consequence: a growing inequality between those who master AI and those who are left behind.
It is already evident that individuals and companies with early access to AI tools achieve significant productivity advantages. This makes continuing education a key factor for the competitiveness of individuals and economies.
Capital markets under AI influence
The financial markets will also be profoundly shaped by AI. Companies that use AI in a targeted manner—whether to increase efficiency, in customer dialogue, or in production—can achieve above-average growth. For investors, this opens up potential reminiscent of the great innovation spurts of past eras, such as the expansion of the railways in the 19th century or the digitalization of recent decades.
In addition, new asset classes are emerging: Data is becoming a strategic commodity, the collection, processing, and storage of which already enables billion-dollar business models. At the same time, AI-supported efficiency gains could trigger deflationary effects by making goods and services cheaper—with a direct impact on purchasing power and real asset value.
On the other hand, it remains to be seen how regulation and politics will react: tax and social models will determine whether AI will become a driver of widespread prosperity or an exacerbation of existing inequalities.
Historical lessons
The history of industrialization shows that technological revolutions initially primarily benefit capital owners. Only with a time lag did prosperity reach broader sections of the population. Economists refer to this as the "Engels Pause"—a period in which productivity and profits rose sharply without real wages keeping pace.
The lesson here is that progress is not automatically distributed fairly.
To prevent AI from once again leading to a long transition phase in which only a few benefit, three prerequisites are necessary:
Education and training to prepare broad sections of the population for new working environments.
Far-sighted regulation that promotes innovation but also ensures social stability.
Self-initiative , both from employees and investors who actively use AI rather than waiting.
Conclusion
Artificial intelligence is the steam engine of the 21st century—possibly even more powerful. It is transforming the foundations of labor, production, and capital markets. Whether this leads to an era of prosperity or a period of growing inequality depends not solely on the technology itself, but on the ability of society, politics, and investors to use it responsibly.
History shows that technological change is inevitable.
The crucial question is whether we shape it – or are shaped by it.
Best regards and successful investing,
Your service team
Disclaimer
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Source:
Torsten Leissner