I looked at my phone the other day and realized that they’re the symbol of a radically different economy. Social media, communication, and entire industry is tied to the fact that we have these mobile devices near as at all times.

Predicting this 30 years ago would be near impossible. Predicting the social issues and the impact on our youth may have fallen under the same tone as, “TV will kill your imagination” expect, without the massive data that seemingly links smartphones to the rise of mental illness amongst teens.

I’m fully convinced that we need to be prepared for a radically different world 30 years from now, so radical that things like pensions and home values won’t necessarily carry the same weight as they do today. Here’s why…

Changes to Our Population

Fertility rates will continue to decline in developed countries. Although some population models don’t predict a worldwide decrease, there are high birth rates coming out of Africa, and fertility rates are declining as you move further away from the equator. A population decline or even a slow down would massively effect our economy in the sense that our economy is based on growth. More people to buy things and more people to employ has been fuelling these good economic good times since the end of the Second World War. Unprecedented migration will have to occur in order for countries with lower fertility rates to remain competitive. There’s likely going to be mass competition for immigrants, which of course goes against the current Trump rhetoric coming from the United States.

Furthermore, climate change will also begin to drive people away from the equator. Factor in the half of species will likely be wiped off the planet by 2050, as we enter a mass extinction, our eco systems will see a dramatic shift, which will also influence population migration.

An excellent example of the rapid impact of losing or reintroducing species to a given area.

Real estate prices definitely feel more like an after thought as one examines the trends and predictions for the next 30 years. Real estate is one of the most common long term investments for individuals. However, dramatic shifts in population displacement could put real estate in such a bind that the whole market essentially collapses. Having said that, everyone needs shelter — buying something now could be a life-saver. Just don’t expect massive returns come retirement.

The Economy

Automation will likely be at the forefront of our economy within the next decade. The notion strikes fear in those in occupations that can be replaced by machines. However, if a robot can replace someone’s labour — which is essentially their contribution to our economy and society — would that labour still be considered meaningful? Automation will encourage our workforce to tackle problems robots and AI can’t, to solve problems, build communities, and think critically about the direction of our future.

Photo by Alex Knight on Unsplash

The problem will be the shift to this type of workforce. Universal Basic Income has been gaining steam over the last few years, with Canada, Finland, parts of Africa running programs along with Silicon Valley corporate backed experiments in the United States. For those unfamiliar, Universal Basic Income (or UBI for short) is a social system which distributes a livable amount of funds to citizens regardless of their income. For example, if you’re unemployed, UBI would provide you with something like $30k/year (a figure I estimate would allow one to live with the necessities for survival and still contribute to the economy). If your income is $100k/year, you’d still receive $30k through UBI.

This concept is accepted both by the left and right, by socialists and capitalists. Our economy relies on all income earners to redistribute their incomes — stashing cash under a mattress benefits no one. Capitalists need people to buy their goods, and more of it (always more, businesses must grow) and socialists like to see systems in place to ensure that all people have the ability to prosper and be taken care of by society. Furthermore, UBI promotes entrepreneurship as many will be more likely to take risks knowing that they’ll still be able to feed, clothes, and shelter themselves and their families.

UBI is an economic game changer. It will likely replace government backed pensions and radically shift how we view retirement, social services, welfare, and essentially to anyone receiving funds through government social programming.

So now what?

We don’t have a clear picture of what the world will look like in 30 years. It would be irresponsible and foolish, as Millennials, to assume that we’re entitled to retiring like our parents have or will.

Even if we ignore the above issues, there are other major factors that will likely disrupt our current economic landscape. Space travel and tourism, quantum computing, renewable energy replacing fossil fuels, along with food and farming practices will be enough to disrupt what is essentially the golden age of human civilization. I’d also be remiss not to mention crypto currency, which has the potential to fundamentally change the way we view currency.

Remember, there’s less war and famine than there’s every been in our history. Suicide and drug addiction kills more than murder and war. While that stat is met with mixed emotion, we truly have built something remarkable.

We’ve done this through innovation, capitalism, and democracy. However, those three terms are rapidly evolving as well. As we enter adulthood and make decisions such as our parents made, investing, buying a home, choosing a career, we have to realize that our world come our retirement age will evolved to something likely unrecognizable to today.