Perception VS Tangible results

[CTO114]

We're starting to enter a new era of modern economies where there is more production of perception rather than measurable results.

In this system or era supposed growth comes from; algorithms, A.I generated output digital assets and even financial engineering as opposed to more Tangible results like; factories and physical production.

This can be found when; companies value are measured by future narratives rather than present turnover, and influencers monetizing the attention they command on social media.

The markets have changed, the questions what to produce, how to produce, where to produce, for whom to produce, is no longer asked, what is being asked is; how much attention can you dominate?

Are we starting to see economies heavily dependent on confidence or supposed confidence?

[AprilioMP]

Economic issues are always complex to discuss, but the first challenge we face is the prospect of changing purchasing power. Whereas $100 used to buy a favorite item, in the future, $100 may no longer be enough to purchase a single item we frequently buy.
If the concern is workers’ difficulty in earning a more decent income, that will indeed happen. Even the rising exchange rate of fiat currency alone has a significant impact on the stability of prices for goods.

[dansus021]

this little bit technical and have accounting based and now Im undergraduate of Accounting and I would say that, We have officially entered what many are calling the "Intangible Era," where the value of a company’s "story" or its "data moat" often far outweighs its physical inventory. We’ve reached a point where an AI algorithm's potential to optimize a supply chain is worth more than the physical supply chain itself. The Attention Economy isn't just for influencers anymore it's for everyone. If you can't capture the narrative, your 'tangible results' don't even make it onto the ledger.

[programmer3666]

I think the world is gradually moving toward an economy where hype, attention, and public opinion matter more than actual physical results. These days, if people believe in something strongly enough, it can become valuable even before it proves itself. A clear example is social media influencers. Some of them make huge amounts of money just because they have attention and followers online, even though they are not producing physical goods like factories or farms. The same thing happens with some companies whose value keeps rising mainly because people believe they will become successful in the future.

[Cryptohygenic]

The markets have changed, the questions what to produce, how to produce, where to produce, for whom to produce, is no longer asked, what is being asked is; how much attention can you dominate?

If how much you can dominate becomes the most burden or target for the producers then what to produce will still be the primary finger to point at because what you produces and how your products dominants determines the outcome you get.
This is a matter of competition in the economy market. So what you produces and its qualities also matters because at the end of it demands and supplies decides which product is dominating.
This is also how Ai has gone soar ahead of the era we are today.

[Cryptomultiplier]

The markets have changed, the questions what to produce, how to produce, where to produce, for whom to produce, is no longer asked, what is being asked is; how much attention can you dominate?

Are we starting to see economies heavily dependent on confidence or supposed confidence?

Current economic theories are definitely favoring attention flow as a scarce resources, hence why content creators and influencers can just be in front of a camera doing nonsense and still be making huge capital because they have managed to capture the attention of a large audience and can always influence how the audience understand and perceive what they see.

This shows a huge shift from the traditional economic theory we once knew and was taught in school at a younger age.
This may be due to innovations and development in technology that has evolved to cause a make believe system where people believe more of what they are told or shown on social media platforms.

In classical economics as we were taught that for a company or business to have good turnover, they must have shown they are valuable in terms of the kind of utility they provide, in terms of physical production and scarcity, however, it isn't the case these days with perception from attention being more valuable than tangible physical results and metrics.

[Spaceman1000$]

We're starting to enter a new era of modern economies where there is more production of perception rather than measurable results.

In this system or era supposed growth comes from; algorithms, A.I generated output digital assets and even financial engineering as opposed to more Tangible results like; factories and physical production.

This can be found when; companies value are measured by future narratives rather than present turnover, and influencers monetizing the attention they command on social media.

The markets have changed, the questions what to produce, how to produce, where to produce, for whom to produce, is no longer asked, what is being asked is; how much attention can you dominate?

Are we starting to see economies heavily dependent on confidence or supposed confidence?

I feel the difference is not that much, people just changed advertisement strategy as oppose to the previous ways, were commercials were done on TV and radio. This is because people are always on the internet and social media, so attention has shifted as a lot of people don't watch TV as before, so influencers are seen as people that can easily pass information for a particular product because of the number of persons they have that follows them.

 However the need for factories and physical production cannot be short changed, regardless of the optics artificial intelligence brings, it cannot replace real production on the streety, at best AI can come in to help the situation by making some inadequacies accurate.

[uneng]

Essential goods will be always demanded. People can't feed themselves from AI, even though their psychological needs may be already attached to it. There is a physical and physiological body which still lives on material world and needs material goods to survive and exist.

Moreover, this physical body also needs shelter, a place to live securely and comfortably. If you can provide this, you will be in a good shape in this society. People may be focused on their perception, but if you can see beyond, you will be one step ahead of them.

That is, don't fit the role of a mere consumerist in society, rather prefer being the service provider.

[slapper]

Calling this a "new era" gives too much innocence to the past. Stories have always been a key to markets.

Trust has always been an important pillar of the operation of economies. A bank run has nothing to do with the bank being insolvent. It is about enough people believing it might be. In that sense, the perception economy didn't come up with anything new. It took old social instincts, flattened the aesthetics, and scaled them globally.

What HAS changed is the feedback loop speed. Once the lag time was long enough so that the reality could "correct" the narrative before too much damage was done. Now? A stock can price in five years of imaginary growth in a single earnings call and.

Less that perception creates value, more that we have collectively forgotten how to tell the difference between perception of value and the creation of value. That used to be a huge factor in the allocation of capital. If it doesn't matter, then capital doesn't go where growth is.

[AVE5]

Economic issues are always complex to discuss, but the first challenge we face is the prospect of changing purchasing power. Whereas $100 used to buy a favorite item, in the future, $100 may no longer be enough to purchase a single item we frequently buy.
If the concern is workers’ difficulty in earning a more decent income, that will indeed happen. Even the rising exchange rate of fiat currency alone has a significant impact on the stability of prices for goods.

So we should be looking for inflation which is the lack of the governments aids to regulated its economy system and keep balancing to the values of the traditional values such as the flat with zero potentials on how intrinsic values it has and how it could utilized except for payments purposes for goods and services necessities.
The fiats has also been a measure to detect when national economy grows or deflates through the exchange rates of the purchasing power of the fiats.
This is why saving your funds in the bank for the long because it doesn't have store of values as gold, Bitcoin or stocks.

[Unknown Op]

Perception economy is a new trend in today’s world, the primary currency is your confidence. The feeling of being successful is more important in today’s era then making any physical product money flows toward those who can grab the maximum amount of attention or those who have most exciting things to tell about their future, today is modern wealth is being built on digital assets and your social influence. Markets are running on confidence. It is a good change but if the people who are very much interested in these things stop or lose their interest or don't believe in this type anymore then their value can disappear this make our modern economy very much psychological it work until and unless confidence remains high.

[bitterguy28]

We're starting to enter a new era of modern economies where there is more production of perception rather than measurable results.

In this system or era supposed growth comes from; algorithms, A.I generated output digital assets and even financial engineering as opposed to more Tangible results like; factories and physical production.

there’s also tangible results from the systems designed like algorithms.

the more personalized algorithms are, the more likely people will end up buying or consuming what has been on their feeds all the time. the world has changed. we are going digital but it doesn’t mean it’s any less meaningful or productive.

[CageMabok]

Economic issues are always complex to discuss, but the first challenge we face is the prospect of changing purchasing power. Whereas $100 used to buy a favorite item, in the future, $100 may no longer be enough to purchase a single item we frequently buy.
If the concern is workers’ difficulty in earning a more decent income, that will indeed happen. Even the rising exchange rate of fiat currency alone has a significant impact on the stability of prices for goods.

Currently, the value of the fiat dollar is starting to strengthen significantly compared to fiat currencies from other countries, especially when compared to currencies like the Rupiah. The current weakness in the exchange rate is clearly visible, and the effects are being felt by everyone, especially the lower-middle class, as they no longer have any choice but to continue saving while seeking additional sources of income to cover their living expenses. But for now, I am grateful to be able to enjoy life under these unusual circumstances, although I don't know what the future will hold if these current conditions don't pass soon.

[viljy]

Well, the cost has long been shaped by expectations, especially expectations of something, I would choose the word "fashionable". Well, as in the field of AI, the expectation of unprecedented miracles is everywhere. This is how bubbles form. While the rare sane voices are drowned out by the deafening cry of the crowd: "AI! AI!"

Where and at what price can we get electricity to power giant data centers? - There is no answer. There is no answer as to where to get a huge amount of copper (and at what price) for these data centers.

But the field of AI is still deeply unprofitable. After all, AI companies even force their employees to spend money on tokens by introducing it as a metric of employee effectiveness. The capitalization of Nvidia, a seller of shovels for gold prospectors, is only growing.

[michellee]

The market has changed, no doubt but the economy works as usual but the new businesses grow using technology. They use algorithm and use the narratives from social media to know how good the product. People see the reviews from those influencers so people now becoming smart choosing the right product to them.

Everything is still running according to the track but people seems more trust influencers than researching by themselves. The economy depends on each person as they will buy what they need and the company still researching to determine which strategies they can use following the market.

[AprilioMP]

[edited out]

So we should be looking for inflation which is the lack of the governments aids to regulated its economy system and keep balancing to the values of the traditional values such as the flat with zero potentials on how intrinsic values it has and how it could utilized except for payments purposes for goods and services necessities.
The fiats has also been a measure to detect when national economy grows or deflates through the exchange rates of the purchasing power of the fiats.
This is why saving your funds in the bank for the long because it doesn't have store of values as gold, Bitcoin or stocks.

Savings in fiat currency are not the solution if you want to survive economic challenges. Fiat should only be held for what is necessary. For essential needs and other needs that cannot be paid for with other assets.

Bitcoin and gold are long-term savings. This is not solely due to the potential returns from price appreciation, but also because they can safeguard your financial future.
We should learn valuable lessons from the experiences of those who came before us, who are now elderly, on how best to preserve the value of fiat currency. If they invested in gold, we can do the same. Since Bitcoin is also a proven asset, I believe investing in gold and Bitcoin is a solution to future concerns.

[YOSHIE]

Are we starting to see economies heavily dependent on confidence or supposed confidence?

Yes, I've read about the economics of trust, if you judge it in today's era, yes, that's the case.
As written in the quote below.

Yes, we have entered the era of the Trust Economy where trust (or the perception of trust) has become the most valuable commodity and business currency.

Here's how this shift changes the way the economy works today:

• From Attention to Trust: We are moving from the Attention Economy (where companies compete for attention or virality) to the Trust Economy (who can be trusted the most and proves it). High attention is useless if the audience does not have the trust to transact.
• Perceived Trust: In the digital era, trust is often built through visible transparency, such as real-time consumer reviews/ratings, data security certifications, and social proof from the community.
• Real Impact on Business: In the Trust Economy, reputation spreads faster than traditional advertising. Successful companies are not always those that offer the lowest prices, but rather those that are able to credibly bridge the gap between promise and reality.

I think the answer in the quote above may represent the answer to the OP's questions.

[Fortify]

We're starting to enter a new era of modern economies where there is more production of perception rather than measurable results.

In this system or era supposed growth comes from; algorithms, A.I generated output digital assets and even financial engineering as opposed to more Tangible results like; factories and physical production.

This can be found when; companies value are measured by future narratives rather than present turnover, and influencers monetizing the attention they command on social media.

The markets have changed, the questions what to produce, how to produce, where to produce, for whom to produce, is no longer asked, what is being asked is; how much attention can you dominate?

Are we starting to see economies heavily dependent on confidence or supposed confidence?

It depends what you're talking about exactly, there are plenty of "hustlers" out there who are trying the old tactic of fake it until you make it and that has never actually been easier. It's possible to rent everything these days and if you are really deceptive you can pretend to live a very lavish lifestyle on the surface. However that doesn't exactly work for most other jobs that require it to produce trackable results. Most companies these days are using new tracking than ever to monitor productivity and if you don't hit targets you are easily replaced. You can even see cameras and Ai taking it to the next extreme - watching you all the time instead of randomised manual monitoring that happened in the past.

[henmark]

Essential goods will be always demanded. People can't feed themselves from AI, even though their psychological needs may be already attached to it. There is a physical and physiological body which still lives on material world and needs material goods to survive and exist.

Moreover, this physical body also needs shelter, a place to live securely and comfortably. If you can provide this, you will be in a good shape in this society. People may be focused on their perception, but if you can see beyond, you will be one step ahead of them.

That is, don't fit the role of a mere consumerist in society, rather prefer being the service provider.

AI is almost on any thing now. So even before you can think of it, others already did it. Humans are such an advanced and smart creatures.

''People focused on their perception'' but according to the meaning of the word perception, it was in fact composed of a couple of things already. There is even the word beyond that is mentioned on some of its definition. I checked again though if perception already includes actions but Google says 'not quite yet'.

So maybe action is only the ones that is lacking out of it? AI is making us lazy on the current world but indeed that we must not go with the flow because it can consume us for the negative in fact instead of what we think is positive. In today's era, actions are getting scarce, but that is why it is more valuable.

[Yeesha]

We're starting to enter a new era of modern economies where there is more production of perception rather than measurable results.

In this system or era supposed growth comes from; algorithms, A.I generated output digital assets and even financial engineering as opposed to more Tangible results like; factories and physical production.

This can be found when; companies value are measured by future narratives rather than present turnover, and influencers monetizing the attention they command on social media.

The markets have changed, the questions what to produce, how to produce, where to produce, for whom to produce, is no longer asked, what is being asked is; how much attention can you dominate?

Are we starting to see economies heavily dependent on confidence or supposed confidence?

It depends what you're talking about exactly, there are plenty of "hustlers" out there who are trying the old tactic of fake it until you make it and that has never actually been easier. It's possible to rent everything these days and if you are really deceptive you can pretend to live a very lavish lifestyle on the surface. However that doesn't exactly work for most other jobs that require it to produce trackable results. Most companies these days are using new tracking than ever to monitor productivity and if you don't hit targets you are easily replaced. You can even see cameras and Ai taking it to the next extreme - watching you all the time instead of randomised manual monitoring that happened in the past.

I found it very difficult to understand why some people will choose to live an impressive life despite knowing their financial situation. You don't have to force yourself to feel among, don't try to live a lavish life if you can't afford it. Working productively just to maintain your financial status is better than living a fake life. There are still a lot of opportunities for manual production, you can make use of the opportunity to involve yourself in something tangible and beneficial. Considering living among supportive group or motive and encourage you to be yourself, face the reality and chase your dreams.