Open Economics Plan v3.1

The Open Transition Framework.

Architecting a transparent economic roadmap to transition humanity from a Labor-Scarcity Economy to an Abundance-Access Economy—triggered by AI capability milestones.

Known Critical Flaw

The Synthetic Data Problem: The "Data Strike" leverage assumes AI needs human data. Current research suggests that by ~2028, models may be self-sustaining via synthetic data (AI teaching AI). If so, the public cannot "strike" if the factory doesn't need their labor or their data.

See Defense →
The Problem

The Transition Gap is
the existential risk.

AI will displace human labor faster than governments can implement safety nets. This is not a distant concern—it is the primary solvency problem of our generation.

The question is not whether automation will happen. The question is whether we build the floor before people fall through it.

Labor vs. Safety Net Trajectory

Figure 1.4 — The Transition Interval
CRITICAL REGION DETECTED
1.00.50.0
Pre-AGITransitionPost-Scarcity
Demand
-42% / yr
Support
+12% / yr
Delta
High Risk
Section 01

Core Definitions

Before planning, we must define what we are talking about. These terms form the vocabulary of the transition.

Risk

The Transition Gap

The dangerous period where AI displaces human labor faster than new economic models can be implemented. Triggered when unemployment exceeds safety net capacity.

Technology

Cognitive Automation

The replacement of 'thinking' tasks (coding, writing, analysis) by AI. Distinct from physical automation.

Policy

Universal Basic Compute

An alternative to UBI where every citizen is guaranteed a slice of AGI processing power to rent, use, or trade.

Architecture

The Maslow Stack

Layer 1 (UBS): Demonetized survival—housing, transit, energy, basic food as infrastructure. Layer 2 (UBI): Cash for discretionary spending.

Economics

Deflationary Supercycle

The economic theory that AGI will drive the cost of goods and services toward zero (Moore's Law for Everything).

Governance

Open Weights

The AGI code must be inspectable by the public to ensure it isn't biased or dangerous. Prevents monopolistic capture.

Section 02

Trigger-Based Timeline

Dates are guesses. Phases activate when capability milestones are hit, not when years pass. The plan adapts to reality.

01

Augmentation Era

~2026–2029
IF / THEN Trigger

AI passes the 'Remote Worker Test'

When an AI can hold a remote job for 1 month undetected, performing knowledge work at median human level.

Actions on Trigger
1.

Activate Displacement Dividend (tax on pure-automation revenue)

2.

Mandate AI Literacy in schools—shift from memorization to verification

3.

Establish retraining voucher system for displaced workers

Income Model

Wages still primary. Displacement Dividend funds retraining.

Job Structure

Specialist → Generalist Operator (1 human + AI = 5 previous humans)

02

Disruption Era

~2030–2033
IF / THEN Trigger

50% of global code is AI-generated

When majority of production code is written by AI systems, indicating broad cognitive automation.

Actions on Trigger
1.

Activate Transitional UBI (Maslow Stack Layer 2)

2.

Deploy Universal Basic Services infrastructure (Layer 1)

3.

Legislate 32-hour then 24-hour work weeks

Income Model

UBI funded by Compute Tax + Land Value Tax (not income tax).

Job Structure

Human Economy emerges—empathy/touch/accountability roles see wage premiums.

03

Abundance Era

~2034+
IF / THEN Trigger

Energy cost drops below $0.01/kWh

Fusion/advanced solar breakthrough makes energy effectively free, enabling cost-of-living collapse.

Actions on Trigger
1.

Demonetize basic needs (food, housing, energy approach zero cost)

2.

Transition to voluntary work for prestige/passion

3.

Implement Open Source AGI mandate—prevent monopoly

Income Model

Money changes function: for status/luxury, not survival.

Job Structure

Work is voluntary. Purpose Grants fund exploration, sports, community.

Section 03

The Math

Show your work. Numbers are not negotiable. Here's how the funding model works.

The Compute Tax Equation
R = C × τE
CTotal Global Compute Usage (in FLOPs)
τTax Rate (variable, 6-10% of AGI revenue)
EEnergy Offset Costs (green AI subsidy)
RRevenue available for UBI distribution
UBI Funding Feasibility (US)
Current US GDP$28T
Projected GDP w/ AGI (2032)~$100T
Required for US UBI~$6T
Required Tax Rate6-10%

Conclusion: The math works only if productivity gains from AGI are captured effectively through Compute Tax, not hidden in offshore havens. Thermodynamic Verification addresses evasion.

Data Note: Job displacement projections are from OTF Model v3.1, a scenario model—not empirical forecasts. GDP projections assume 15% annual growth via automation (optimistic scenario). All figures should be treated as directional, not precise.

Section 04

v2.0 Hardening Patches

The original plan assumed good faith. These patches address political capture, tax evasion, and governance failures.

Smart Contract Charter

Deprecated

See: Synthetic Data Problem

Problem

AI companies will lobby against taxes. Governments are slow.

Mechanism

If a company wants to deploy a model above a certain compute threshold, they must agree to an embedded revenue-share protocol in the code itself.

Leverage

The public forms a 'Data Union.' If AI companies want training data, they must sign the Charter. No Charter, no Data.

The Verification Strike (v2.1)

Active Research

Narrow window: effective until ~2030

Problem

Synthetic Data obsoletes the Data Strike. AI can train on AI-generated data, making content boycotts ineffective.

Mechanism

Pivot from 'Stop Posting' to 'Stop Grading.' Even synthetic data requires human verification (RLHF). Target the clickworkers who rate AI outputs, not the content creators.

Leverage

AI cannot mathematically prove a joke is funny or a policy is ethical. Human 'Ground Truth' verification remains the bottleneck—until AGI develops reliable auto-graders.

Thermodynamic Verification

Feasibility Study
Problem

Companies can encrypt chains or move servers to islands to hide wealth.

Mechanism

Don't tax the money, tax the entropy. You can hide code, but you cannot hide heat.

Leverage

Satellite thermal imaging + power-grid auditing track massive energy sinks. If a facility consumes 500MW but reports $0 tax, audit triggers automatically.

The Maslow Stack

Core Architecture
Problem

'Vouchers' feel authoritarian—government deciding what you can buy.

Mechanism

Universal Basic Services (Layer 1) + Universal Basic Income (Layer 2). Survival is handled by infrastructure (like public roads), cash is for freedom.

Leverage

Prevents 'breadline vibe' because survival is infrastructure, not permission. Money preserved for agency and status.

Sortition Governance

Proposed
Problem

Pure DAOs are prone to hacks and gridlock. They cannot handle emergencies.

Mechanism

Citizen Assembly selected by random lottery (Sortition) for 6-month terms. Cannot write laws, but have Veto Power and can trigger 'Emergency Pauses.'

Leverage

Removes career politicians while keeping human 'hand on the plug.' No permanent ruling class.

Contribution Credit System

Behavioral Research
Problem

'Voluntary work' ignores human need for structure, status, and struggle. Mass purposelessness leads to depression.

Mechanism

To unlock higher UBI tiers, engage in verified community activities: mentoring, environmental restoration, elder care, or civic governance.

Leverage

Preserves status hierarchy humans crave without threatening survival. Work becomes optional but rewarded, not eliminated.

Section 05

Job Displacement Tracker

Scenario projections of workforce transformation. Data from OTF Model v3.1—treat as directional, not precise forecasts.

Sector
Baseline
Projected (2030)
New Form
Status
Software Engineering
100%
35%
-65%
AI System Architect
High Risk
Legal Services
100%
45%
-55%
AI-Augmented Counsel
High Risk
Healthcare (Admin)
100%
30%
-70%
Patient Experience Lead
Critical
Healthcare (Clinical)
100%
90%
-10%
Human Care Provider
Protected
Creative Arts
100%
70%
-30%
Creative Director
Evolving
Manufacturing
100%
25%
-75%
Automation Supervisor
Critical
Education
100%
75%
-25%
Learning Facilitator
Protected
Transportation
100%
20%
-80%
Fleet Coordinator
Critical
Source: OTF Model v3.1 (scenario projection, not forecast)
Section 06

The Opt-Out Protocol

The system cannot be mandatory, or it becomes a prison. Citizens can declare "Sovereign Status" with clear trade-offs.

What You Keep (The Rights)

01

Data Sovereignty

Your data is legally firewalled. Cannot be scraped, trained on, or used by the Data Union.

02

Tax Exemption

Exempt from Social Contribution requirements (no mandatory civic service).

03

Asset Protection

Full ownership of physical assets (land, gold, hardware) without Redistribution Taxes.

What You Waive (The Costs)

01

No UBI/UBS

Zero monthly dividend. No free access to Basic Services layer—pay market rates.

02

No Public AGI

Barred from subsidized Public Compute cloud. Must purchase from private providers at unsubsidized rates.

03

Heritage Zone Only

May only reside in designated Heritage Zones where high-level automation is restricted.

Heritage Zones

Designated geographic regions where high-level automation is restricted. Similar to Amish communities or National Parks. These zones preserve traditional labor, craftsmanship, and human-centric living for those who reject the AI transition. Sovereignty Status holders may only reside in these zones.

Section 07

Frequently Asked Questions

The "doomer questions" everyone asks. Answered directly.

Who buys products if no one works?

The Machine Economy generates wealth. Citizens receive dividends (UBI) from the Compute Tax on AGI revenue. Purchasing power is maintained through redistribution, not wages. Think: universal shareholders of the robot economy.

Won't UBI cause hyperinflation?

Only if supply stays fixed. The plan pairs UBI with supply-side automation. As AGI drives production costs toward zero, more goods exist to absorb the money. UBI is also pegged inversely to cost-of-goods—if inflation rises, cash payout decreases automatically while Layer 1 services (free housing/energy) expand.

Why would companies agree to be taxed?

Two mechanisms: (1) Thermodynamic Verification—you can hide money but not heat; massive compute farms are tracked via satellite thermal imaging. (2) SWIFT-style sanctions on non-compliant entities. The original 'Data Union' leverage is deprecated due to the Synthetic Data Problem.

[CRITICAL] What about Synthetic Data? If AI can train on AI data, doesn't the Data Union lose all leverage?

Yes. This is the plan's critical flaw. If AI becomes self-sustaining via synthetic data (AI teaching AI) by ~2028, the public cannot 'strike' against data collection. The defense: pivot from 'Stop Posting' to 'Stop Grading' (RLHF bottleneck). AI still needs humans to verify its outputs are good. This window is narrow—effective only until AI develops reliable auto-graders. The plan must rely more heavily on Thermodynamic Verification and regulatory capture prevention.

What stops the rich from just leaving?

Thermodynamic Verification. You can hide money offshore, but you cannot hide heat. AGI compute farms are massive energy sinks. Satellite thermal imaging tracks them globally. If your facility uses 500MW but reports $0 revenue, the audit protocol triggers.

Won't people become lazy without work?

Evidence is mixed. The plan includes the Contribution Credit System—higher UBI tiers unlock through verified community activities. But fundamentally, humans seek status and purpose. The Creative Economy (sports, art, exploration) provides those outlets. The failure mode is monitored: if participation drops below 30%, Purpose Grants activate.

What if I don't want to participate?

The Opt-Out Protocol. You can declare 'Sovereign Status' and retain data sovereignty, tax exemption, and asset protection. The cost: no UBI, no public AGI access, residence restricted to Heritage Zones (areas with limited automation). It's a real exit door, not a trap.

What if AGI arrives in 2028 instead of 2034?

The timeline is trigger-based, not calendar-based. Phases activate when milestones are hit (e.g., 50% of code is AI-generated), not when years pass. Early arrival accelerates the trigger cascade. The plan adapts; only the estimated windows change.

What if US and China refuse to cooperate?

The plan doesn't require them to. The 'Non-Aligned Digital Bloc' (EU, India, South America, Africa) can form their own Open Compute Alliance—a shared open-source AGI like CERN for AI. The Swiss Protocol creates a Safe Harbor if superpowers fragment into an arms race.

Section 08

Failure Modes

Every proposal includes its counter-strategy. The plan is antifragile—it assumes things will go wrong.

01
CRITICAL
Trigger

Synthetic Data makes human data obsolete

Cascade

Data Union loses all leverage. The 'Data Strike' becomes a horse-and-buggy union striking against Ford.

Defense

Pivot to 'Verification Strike' (RLHF bottleneck). AI still needs humans to grade outputs. Narrow window until auto-graders emerge (~2030).

High
02
Trigger

Supply-side automation lags, but UBI is printed

Cascade

Hyperinflation. More money chasing fewer goods.

Defense

The 'Liquidity Freeze': UBI payments are automatically throttled. Rationing of essentials (Layer 1) takes priority over cash (Layer 2).

Medium
03
Trigger

Compute Tax is effectively evaded by major powers

Cascade

Government bankruptcy. The state cannot fund UBS/UBI.

Defense

Thermodynamic Verification (can't hide heat) + SWIFT-style sanctions on non-compliant entities.

High
04
Trigger

Nations refuse to coordinate (Total Fragmentation)

Cascade

AGI Arms Race / War

Defense

The 'Swiss Protocol': Non-aligned nations disconnect grids and form closed-loop trade zone as 'Safe Harbor' for humanity.

Medium
05
Trigger

Human participation drops below 30%

Cascade

Mass depression, 'WALL-E Syndrome', social collapse

Defense

'Purpose Grants': Massive funding for exploration, competitive sports, community building to reignite human drive.

Low
Section 09

Success Metrics

Philosophy is debatable; numbers are not. Smart contracts trigger alarms if thresholds are breached.

Gini Coefficient

US-focused initially, global v4.0
WARNING
Target< 0.40
Current0.49 (US)

Net-Worth inequality measure. If exceeded for 2 quarters, Progressive Compute Tax auto-scales by 1% per 0.01 point increase.

Bread & Watt Index

Universal
PENDING
Target< 10% of UBI
CurrentN/A (pre-UBI)

Cost of 2,000 calories + 10kWh as % of monthly UBI. If exceeded, triggers Supply-Side Emergency Act.

Voluntary Participation

Abundance Era only
PENDING
Target> 60%
CurrentN/A (pre-abundance)

% of population in Social Contribution activities despite not needing to work.

Compute Cost Index

Global
OPTIMAL
TargetDecreasing 40%+ YoY
Current$0.50/1M tokens

Price per million tokens. Must decrease for deflation thesis to hold. Current trend: -65% YoY.

Section 10

The Dissent

Intellectual honesty requires featuring the strongest arguments against this plan.

01

The Accelerationist (e/acc) Critique

The Argument

"By taxing compute and enforcing human-in-the-loop brakes, you are artificially slowing AGI. This delay costs lives—cures for cancer, age reversal—that AGI would have solved sooner. Your 'Safety' is actually Lethality through delay."

The Rebuttal

We are not stopping the car; we are installing brakes so we can drive faster without crashing. A transition that causes civil war (due to mass unemployment) will destroy the servers AGI lives on. Stability is speed.

02

The Libertarian Critique

The Argument

"This is Digital Communism with a fresh coat of paint. The 'Citizen Assembly' and 'Global Compute Tax' will inevitably become corrupt, bloated bureaucracies. The free market will solve displacement faster by inventing new job categories we can't imagine."

The Rebuttal

Markets rely on Price Discovery for Labor. When the price of Labor approaches zero, the market mechanism breaks. We are not planning the economy (what shoes you buy); we are planning the floor (that you don't starve while the market figures it out).

03

The Nationalist Critique

The Argument

"Global coordination is naive. Nations will compete, not cooperate. Your plan assumes away the reality of geopolitical rivalry. The US and China will never share AGI benefits."

The Rebuttal

The plan doesn't require US/China cooperation. The Non-Aligned Digital Bloc builds a third pole for everyone else. The Swiss Protocol acknowledges fragmentation as a failure mode with its own defense mechanism.

This is an open
framework.

Fork it. Improve it. Submit pull requests. The transition to an abundance economy requires collective intelligence—not proprietary planning.