South Korea is committing a trillion dollars to build its way out of a problem that money and robots will only make worse.
The country faces a genuine crisis—its birth rate sits at 0.
The instinct is understandable. If you don't have enough people, build machines that work like people—humanoid robots and autonomous systems deployed across manufacturing, construction. Service sectors, operational by 2028 to solve the problem.
Except this is backwards. The mechanism that created South Korea's demographic crisis wasn't invented by nature or fate—it was built by economic policy. Young people in South Korea don't have children because they cannot afford to. Housing costs consume 40% of income for average workers.
A country accelerating the job losses that are already making people too poor to have children is not solving a problem—it's betting on a technical fix for a social collapse it's actively causing.
”We have watched this happen before. Japan spent three decades trying to automate its way out of demographic collapse—the robots came, the jobs disappeared faster, the young people stayed poor and childless. The birth rate kept falling because the machines removed humans from the work that had paid middle-class wages.