This article provides a comprehensive analysis of current labor market dynamics, particularly regarding young college graduates. I appreciate how it highlights the complexities behind the tight labor market, such as the dual challenges of low hiring and low firing. The discussion around the impact of AI on hiring practices is particularly insightful, as it captures how companies are navigating uncertainty while still investing in technology. One constructive criticism is to delve deeper into specific strategies that educational institutions could adopt to better align their offerings with the evolving demands of the job market. This could provide actionable insights for both graduates and employers.
Staying topical, I have 4 pairs of AllBird running shoes and now they are an AI play? Simply because they went SPAC and it drove the share price 580%. IRRATIONAL!!! We're overvaluing the enterprise without any understanding of the earning potential.
Machine learning has been around since the 1950's and a freind of my mother wrote his Dissertation on the topic in 1970. The spector of AI is today's version of the Cotton Gin or any Industrial Revolution tech improvement. Lot's of noise created by 1st Mover Distortions and those fearing displacement. With AI, it hasn't happened other than rudimentary data skills, but the data voids still exist requiring a human to confirm the output.
The investment cycle is the employment concern, in my opinion. Looked at RAM lately? I wanted to upgrade my gaming rig and 64Gb of DDR5 is $800. I made the mistake of waiting last September hoping for a Amazon deal for xmas, never happen. Should have spent the $200 back then!
Possibly mid-tier companies are not hiring 2-3 positions to fund purchasing, but they also don't know how that workflow is going to be affected by AI, so Inertia Bias is clouding movement.
Two components make forecasting difficult. The Persian Gulf and it's duration risk alongside people building out infrastructure without any true plan for usage.
Weapon expenditure is going to invoke Defense Production Act involvement, backfilling pushing component demand higher than supply. Private industry can choice to build their own chips or pay increasing rates to ensure consistent supply. (But Government will bigfoot that?)
Data centers are the utimate NIMBY issue. Until small, modular nuclear reactors are online, the costs will always be placed on customers. Also why Microsoft paid to reopen Three Mile Island, offset their own electric costs.
Decades of under-investment in infrastructure is a huge problem.
Local/State/Federal laws are lagging on AI. (Have fun with that policy issue in law school!)
But most investment is vendor financed and circular in nature. They're just shifting balances and debts on a ledger. Higher costs and supply constraints, little flexibility in how companies can spend that balance. Limiting supply is never good for the external parties needing to obtain product, higher pricing from scarcity.
*The current Administration taking 10% of Intel is equity financing driving business to an entity that otherwise should have been bankrupt.
It's a bubble, in my opinion. The promise is outpacing the innovation... e.i. Tesla's Self-driving promise since 2016. The tech doesn't exist to overcome The Trolley Problem, just mitigate it.
This article provides a comprehensive analysis of current labor market dynamics, particularly regarding young college graduates. I appreciate how it highlights the complexities behind the tight labor market, such as the dual challenges of low hiring and low firing. The discussion around the impact of AI on hiring practices is particularly insightful, as it captures how companies are navigating uncertainty while still investing in technology. One constructive criticism is to delve deeper into specific strategies that educational institutions could adopt to better align their offerings with the evolving demands of the job market. This could provide actionable insights for both graduates and employers.
Thank you for your feedback. I wrote about that here. Hope you enjoy it. https://www.decodeecon.com/p/case-the-four-skills-you-need?r=eikdh&utm_campaign=post&utm_medium=web
Staying topical, I have 4 pairs of AllBird running shoes and now they are an AI play? Simply because they went SPAC and it drove the share price 580%. IRRATIONAL!!! We're overvaluing the enterprise without any understanding of the earning potential.
Machine learning has been around since the 1950's and a freind of my mother wrote his Dissertation on the topic in 1970. The spector of AI is today's version of the Cotton Gin or any Industrial Revolution tech improvement. Lot's of noise created by 1st Mover Distortions and those fearing displacement. With AI, it hasn't happened other than rudimentary data skills, but the data voids still exist requiring a human to confirm the output.
The investment cycle is the employment concern, in my opinion. Looked at RAM lately? I wanted to upgrade my gaming rig and 64Gb of DDR5 is $800. I made the mistake of waiting last September hoping for a Amazon deal for xmas, never happen. Should have spent the $200 back then!
Possibly mid-tier companies are not hiring 2-3 positions to fund purchasing, but they also don't know how that workflow is going to be affected by AI, so Inertia Bias is clouding movement.
Retweet on the RAM prices.
it’s complicated trying to understand where we’re heading with AI, but thankfully I’ve seen more optimistic outlooks as of late.
I’m curious as to what you think the solution for improving the investment cycle is?
Two components make forecasting difficult. The Persian Gulf and it's duration risk alongside people building out infrastructure without any true plan for usage.
Weapon expenditure is going to invoke Defense Production Act involvement, backfilling pushing component demand higher than supply. Private industry can choice to build their own chips or pay increasing rates to ensure consistent supply. (But Government will bigfoot that?)
Data centers are the utimate NIMBY issue. Until small, modular nuclear reactors are online, the costs will always be placed on customers. Also why Microsoft paid to reopen Three Mile Island, offset their own electric costs.
Decades of under-investment in infrastructure is a huge problem.
Local/State/Federal laws are lagging on AI. (Have fun with that policy issue in law school!)
But most investment is vendor financed and circular in nature. They're just shifting balances and debts on a ledger. Higher costs and supply constraints, little flexibility in how companies can spend that balance. Limiting supply is never good for the external parties needing to obtain product, higher pricing from scarcity.
*The current Administration taking 10% of Intel is equity financing driving business to an entity that otherwise should have been bankrupt.
It's a bubble, in my opinion. The promise is outpacing the innovation... e.i. Tesla's Self-driving promise since 2016. The tech doesn't exist to overcome The Trolley Problem, just mitigate it.