‘Money Won’t Matter’: Elon Musk Predicts AI-Driven Abundance by 2036, Calls for Treasury to ‘Simply Issue Cheques’
In a provocative new interview, tech billionaire Elon Musk has laid out a radical vision for the near future, predicting that traditional money will become entirely obsolete by 2036 due to an unprecedented surge in artificial intelligence and robotic productivity.
The Tesla and SpaceX CEO argued that the rapid advancement of automation will soon usher in an era of extreme post-scarcity, rendering the concept of currency pointless.
"What do you want money for? You want money for goods and services", Musk said during the interview. "Well, if that is so abundant... that the robots and AI are providing more goods and services than any human could possibly consume, what do you need money for in that case?"
The interviewer pushed back, noting that Tesla shareholders today are highly concerned with monetary returns, and raised critical questions about how the global economy will navigate the transition to this automated future. Specifically, the interviewer asked if governments would need to implement massive taxes on capital and wealthy individuals like Musk to fund a universal basic income for displaced workers.
Musk’s proposed solution bypasses traditional taxation. "I think that the treasury should just simply issue people cheques", he said.
When challenged on the basic economic principle that printing money to fund these cheques would trigger runaway inflation, Musk argued that traditional economic rules will not apply in an AI-dominated world.
"These things were relevant in the past, they will not be relevant to the future", Musk countered. He explained that inflation is fundamentally a ratio of money supply to available goods and services. If AI boosts productivity by a thousand percent, the money supply can be increased digitally without devaluing currency.
"Provided the creation of that money is less than the rate at which goods and services increase, you actually have deflation", Musk explained. "So I’ll make a prediction, which is that deflation will be the issue, not inflation. Because as the output of goods and services increases faster than the money supply, you will have deflation".
While the interviewer acknowledged the mathematical possibility of Musk’s deflationary thesis, they pressed the billionaire on the volatile political road to this economic, "nirvana". In a highly polarised and anxious world, the fear of mass job displacement could trigger a severe political backlash, potentially leading to far-left governments, exorbitant tax increases, nationalisation of tech companies, and economic collapse before the technology can fully mature.
Musk did not dismiss these political anxieties, admitting that he shares the public’s deep ambivalence about the future of artificial intelligence.
"It’s exhilarating and terrifying, if you ask me", Musk confessed, closing the discussion on a candid note. "On any given day, in fact even intraday, I’ve gone from exhilaration to terror regarding AI".
The Tesla and SpaceX CEO argued that the rapid advancement of automation will soon usher in an era of extreme post-scarcity, rendering the concept of currency pointless.
"What do you want money for? You want money for goods and services", Musk said during the interview. "Well, if that is so abundant... that the robots and AI are providing more goods and services than any human could possibly consume, what do you need money for in that case?"
The interviewer pushed back, noting that Tesla shareholders today are highly concerned with monetary returns, and raised critical questions about how the global economy will navigate the transition to this automated future. Specifically, the interviewer asked if governments would need to implement massive taxes on capital and wealthy individuals like Musk to fund a universal basic income for displaced workers.
Musk’s proposed solution bypasses traditional taxation. "I think that the treasury should just simply issue people cheques", he said.
When challenged on the basic economic principle that printing money to fund these cheques would trigger runaway inflation, Musk argued that traditional economic rules will not apply in an AI-dominated world.
"These things were relevant in the past, they will not be relevant to the future", Musk countered. He explained that inflation is fundamentally a ratio of money supply to available goods and services. If AI boosts productivity by a thousand percent, the money supply can be increased digitally without devaluing currency.
"Provided the creation of that money is less than the rate at which goods and services increase, you actually have deflation", Musk explained. "So I’ll make a prediction, which is that deflation will be the issue, not inflation. Because as the output of goods and services increases faster than the money supply, you will have deflation".
While the interviewer acknowledged the mathematical possibility of Musk’s deflationary thesis, they pressed the billionaire on the volatile political road to this economic, "nirvana". In a highly polarised and anxious world, the fear of mass job displacement could trigger a severe political backlash, potentially leading to far-left governments, exorbitant tax increases, nationalisation of tech companies, and economic collapse before the technology can fully mature.
Musk did not dismiss these political anxieties, admitting that he shares the public’s deep ambivalence about the future of artificial intelligence.
"It’s exhilarating and terrifying, if you ask me", Musk confessed, closing the discussion on a candid note. "On any given day, in fact even intraday, I’ve gone from exhilaration to terror regarding AI".
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