Chronic Unemployment Explained

Whether we meant to do it or not, we have been slowly blanketing the world with a digital nervous system. Millions of computers connected into millions of miles of cabling form the skeletal structure of this digital nervous system. Over the next few decades, millions of sensors will be connected into the same internet measuring everything imaginable. These all form the foundations of the Post-Industrial Age which will change the nature of life and work for everyone on earth.

This shift will be painful, as all change has to be. In the short term we will see significant economic pain as we transition from an economics of industry to the economics of knowledge. Old business paradigms will die and new, radical approaches will revolutionize work. The world economic order will be reshaped by the tectonic forces of the Digital Revolution. 

This is the real reason behind chronic levels of unemployment. Old jobs are dying faster than new jobs are created. At the moment, the hot new job is Data Scientist, bur for every new position in that field, we have lost thousands of semi-skilled jobs.

In spite of political rhetoric, employment has little relationship with taxes. Businesses hire workers when they need the help, plain and simple. The digitization of business has eliminated the need for many jobs. Fortunately, the same technologies that eliminated jobs will eventually create the jobs of the future. Just like the electric motor put millions of laborers out of work, it eventually created many more jobs than it destroyed by founding whole new industries. 

Need help navigating these troubling economic times? Call us to see the way ahead. (305) 423-9574

R-Squared Computing | Lou RG | Nearly Free IT | Firm Wisdom

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