The Jevons Counter-Thesis: Why AI Displacement Scenarios Underweight Demand Expansion
A response to Citrini Research's "The 2028 Global Intelligence Crisis" scenario. Using Jevons Paradox and historical precedent, this piece argues that AI displacement models systematically undercount the demand expansion that follows when a critical input (in this case, cognitive labor) becomes dramatically cheaper. The article examines latent demand, competitive price dynamics, the speed of entrepreneurial response, and why the historical base rate favors expansion over permanent contraction.
