Person/Andrew Singleton/Article/26/06/AI Economics for Dummies

• AI Economics for Dummies

  • Author: Person/Andrew Singleton
  • Source: McSweeney's Internet Tendency
  • Journal link: 2026/06/17

  • Summary

    • Satirical "for Dummies" explainer on AI-company economics, framed around the AI giants getting ready to go public. Five word-problem vignettes lampoon circular revenue, subscriptions sold below cost, round-tripped investment booked as revenue, automation that destroys more value than it creates, and debt-fueled overbuilding—each capped by financial journalists and Wall Street abandoning scrutiny for worship.

  • Notes

    • Running joke: the more nonsensical the economics, the more reverent the financial press (WSJ, Forbes, Goldman Sachs) becomes—escalating to literal religion and holy war.
    • Vignette logic mirrors real bubble critiques: the grape arbitrage = revenue recognized up front against circular sales; the taxi subscription = selling below marginal cost (gas spend exceeds revenue); the crematorium-and-propane deal = round-tripping an investment back as reported revenue; the mule farm = automation overpromised while productivity is destroyed; the unwanted apartments = capex overbuild on faith.
    • Closes by telling the still-confused reader that everything is working, everyone is making money, and to "stop asking questions, luddite."