Billionaire entrepreneur Elon Musk has predicted that money could become irrelevant by 2036 as artificial intelligence and robots produce more goods and services than humans can possibly consume.
Speaking in an interview with The Economist, Musk boldly stated, “Money won’t matter in 2036.”
When interviewer Zanny Minton Beddoes questioned the forecast, Musk explained: “What do you want money for? You want money for goods and services, right? You want money for obviously food, housing, transport, entertainment.”
He argued that once AI and advanced robotics make essential goods and services abundantly available, the need for traditional currency would diminish.
“If 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?” he asked.
Addressing concerns about mass job losses due to AI, Musk suggested that governments could provide direct financial support to citizens.
“I think the Treasury should just simply issue people cheques,” he said.
When Beddoes raised the risk of inflation from such money printing, Musk disagreed. He insisted the future economy would operate differently.
“Inflation is simply the ratio of money to goods and services,” he said, predicting that AI-driven productivity would instead create a challenge of deflation. “I’ll make a prediction, which is that deflation will be the issue, not inflation.”
On navigating the political and economic tensions AI could trigger before that future arrives, Musk admitted mixed feelings about the technology.
“It’s exhilarating and terrifying,” he said. “Honestly, if you ask me on any given day, in fact, even intraday, I’ve gone from exhilaration to terror regarding AI.”