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Notes -
"If this technology was going to make a big impact it would have done so already" is a more difficult heuristic to use than you might think.
Looking back on automobiles, airplanes, the internet, etcetera, do you think you might have said that about them when the technology was still in the process of rolling out?
"P. Krugman 1998, “The growth of the Internet will slow drastically, as the flaw in ‘Metcalfe’s law' becomes apparent: most people have nothing to say to each other! By 2005, it will become clear that the Internet’s impact on the economy has been no greater than the fax machine’s”
I would say that usually when a technology gets as big as LLMs it doesn't just fade away into nothingness. There are many obvious use cases, just as there are many obvious use cases to cars, airplanes, and the internet.
In 1940 Orwell wrote that aircraft had hardly been used for anything up till that point besides dropping bombs. But I doubt he would have said that the air travel revolution would never materialize, just that it hadn't materialized yet.
Krugman was right about the Internet at least in terms of aggregate productivity/gdp growth. It’s true that we switched dramatically from using red widgets to blue widgets to do basic communication tasks but sort of so what.
I think Krugman is full of shit because there's a vast difference between 'fax machine' and people doing research being able to access practically everything interesting that's ever been written.
At least with software development internet enabled cooperation increases productivity by a big factor.
One would think so but it doesn’t show up in aggregate productivity unless you really really squint.
Maybe, but see above.
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