Economist Alex Imas asks what becomes scarce after AI — and why Starbucks reversed automation
soumitrashukla9 · x · 2026-10-23
In a Substack essay, economist Alex Imas argues that even if AI delivers material abundance, scarcity won't disappear — it will change form, and the key economic question is identifying what becomes scarce. He opens with Starbucks as a canary: its easily mechanized product led management to automate aggressively for thin margins, but the company concluded this was a mistake — CEO Brian Niccol credits handwritten notes, ceramic mugs and good seating for bringing customers back, and stores are hiring more baristas while rolling back automation. Imas stresses the transition shouldn't be viewed as lines on a graph — it is often painful and disruptive — and that work carries identity, meaning and agency, not just income minus effort costs.
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