AI Automation Will Saturate Demand: What Textiles Teach Us About the Post-AI Economy

binarybits · x · 2026-09-19

In a discussion with Ryan Greenblatt, binarybits argues that if rapid AI progress massively expands certain categories of goods, demand will saturate, prices will fall, and spending will shift toward goods that can't be automated and thus stay comparatively scarce.

His analogy: textiles. A century of improving cloth production has mattered less and less because clothing markets in much of the world are saturated — cheaper fabric doesn't make people buy more.

Related event: Debate: Would AI-Driven Industrial Explosion Hit Demand Saturation?(10 posts)→

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