Pluralistic: The (real) dead economy theory (17 Jun 2026)
Cory Doctorow argues the real "dead economy" is markets shifting capital from productive work into speculative bubbles, citing Musk's post-2020 flops and defunding cancer research for AI data centers. The risk isn't AI replacing jobs, but bosses replacing workers with defective chatbots sold by hype.
Background
Cory Doctorow is a prominent tech journalist and digital rights activist whose blog Pluralistic.net is a key hub for commentary on tech and economics. This post argues that financial markets have stopped valuing productive assets, instead pouring capital into speculative "vibes" — crypto, AI chatbots, and Elon Musk's failing ventures (Starship, Cybertruck, XAI). The real danger of AI isn't it replacing workers; it's that AI hype diverts investment from genuinely productive areas like cancer research, while Musk-aligned government officials defund real science. Doctorow criticizes Owen McGrann's "dead economy theory" (about a post-job AI future), saying the term should describe an economy where capital chases memestocks and grifts rather than creating real value.