The Jevons Gap

The Jevon’s Paradox is an economic theory that points to how innovation creates an abundance of opportunity. When steam production became cheaper, more steam was used. When electricity became less costly to produce, much much more was used. This theory has become the guiding hope regrading the job destruction and opportunity creation as a result of Ai. I believe this will be the case.

Efficiency doesn’t reduce demand—it often increases it. That’s the promise of the Jevons Paradox. But there’s a catch: timing. AI may create more opportunity eventually, but the transition gap—the space between job loss and job creation—may be too wide for individuals to endure. The danger isn’t collapse. It’s the waiting.

Let’s talk about it.