The universe, says economist Noah Smithis always trying to kill us, whether it’s asteroids hurtling through space or our hunger pangs that last every few hours. Why then should we expect anything other than a pull towards poverty?
In this episode, Russ Roberts and Noah Smith reflect on films and TV shows that portray the “good old days” nostalgia for the specific era of the 1950s. They end with an exchange about various survival shows, including a Canadian show that was canceled because surviving the peasant living conditions of the late 1800s was simply too challenging for the participants. Why do people tend to idealize certain historical periods, and how does this affect current views on progress, technology and economics? We hope you enjoy this exchange of ideas, descriptions and anecdotes about development. As always, your comments are welcome and encouraged.
1- Smith calls poverty the “elemental enemy.” What does this metaphor suggest about the nature of poverty and survival compared to other enemies such as nuclear war or climate change?
2- ‘Industrial modernity’ is described as a ‘system of technological buildings’ that supports modern living standards. How did Adam Smith foresee this in his opening of Wealth of nations about division of labor?
3- The paradox of labor-saving technologies that reduce jobs while increasing productivity is an age-old phenomenon. As the discussion about the future of AI continues to evolve, what potential consequences of technological unemployment appear to be underestimated or overestimated? Why?
4- Both Roberts and Smith are curious about why the Industrial Revolution did not happen sooner, despite the availability of key technologies in earlier civilizations such as Rome, China and Latin America. What are some possible explanations for why industrialization has taken so long, and how do market size, the institutions of the time, or other economic factors contribute to this slowdown?
5- Some argue that technological progress can reduce resource consumption without the need for degrowth, while others believe that degrowth is necessary to limit damage to the environment. To what extent is there hope that Noah Smith’s concept of our “single team” effort in the fight for our future, a way in which these two approaches can effectively coexist?