October 19, 2015

Cyber Economics

Chinese Apple iPhone factory

The South Koreans are working on a project to mass produce robots at a price that will make it economically feasible to replace even cheap Chinese workers. A Chinese factory worker's minimum wage can be as low as $200 a month (1250 yuan at $0.16 per yuan).
As of 1 July 2015, the monthly minimum wage in the Pearl River Delta manufacturing centres of Dongguan, Foshan and Zhongshan was 1,510 yuan, while the rate in the sprawling inland metropolis of Chongqing was only 1,250 yuan per month.
I would hate to see what would happen if suddenly millions and millions of Chinese laborers lost their jobs. The government would have to distract their attention by starting a war or some-such.
In the future, we will all be on benefits, while rich people use robots to make even MORE money.

That’s the dark future hinted at by Samsung’s new ‘big project’ – a plan to build robots cheaper even than the miserably underpaid humans who work in Chinese factories.

The project, in collaboration with South Korea’s Ministry of Trade, Industry and Energy, has been funded to the tune of 6.75 billion won – and aims to create factories which will undercut Chinese ones, according to The Register.

If the plan works, South Korea could pick up lucrative contracts assembling products such as new iPhones – currently made in huge Chinese factories.

If so, it marks a dark day for the future of human employment – as so far, many jobs have been protected simply because humans are cheaper than machines.
About 3 million jobs manufacturing jobs have left the US for China despite the American worker being far more productive. But no matter how productive you are, $2,400 a year is a  hard number to beat.

Story here:

1 comment:

Doom said...

That may be why academics and politicians (definitely at the higher and global levels) believe there too many people, by 90%. I suspect, if they could, they would reduce those numbers. Some pigs, of course, being more equal than other pigs, and all pigs being better than other animals (no poke at specific professions, mind you, just some notations from Animal Farm (written, I might add, but a communist/socialist type, and meant to be pro what he stood for... somehow).

No, they won't keep us on the dole. If they could, they would eliminate us. Whether through government, science, an automated military... I'm not sure they will get there, and that it will all work. Though I am even more sure that if they made their system, and implemented a massive population reduction... they would realize, far too late, that they made a huge mistake. We'll see.