> If this technology truly unlocks a holy panacea of productivity with a commensurate drop in employment then capital’s share of the national income can and should provide for a wider and deeper welfare state.

This isn't guaranteed in the tax system as it exists today, because reinvestments into further growth are often treated as expenses which cancel out the income for tax purposes.

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anothermathbozo 6 hours ago | parent [-]

You’re conflating firm level taxable income with the national income.

	▲	SpicyLemonZest 6 hours ago \| parent [-]
		No I'm not? Current American tax policy does not guarantee that any fixed percentage of the national income will be received by the government as revenue. If the advent of powerful AI pushes corporations away from dividends and buybacks towards expansion and research, then tax revenues may flatten or even decrease even as the national income spikes. (Sales taxes are more likely to track aggregate economic activity, but US sales taxes are both not very high and don't flow to the federal government.)