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The Inevitability of the AI Depression

The collision of hype and euphoric hallucinations with the real world will manifest across the entire socio-economic-political-legal spectrum.

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Charles Hugh Smith
Apr 03, 2026
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The conventional narrative views AI dominance as inevitable. What’s actually inevitable is the AI Depression, the economic fallout of unrealistic but oh-so-profitable hype, malinvestment, unprecedented legal liabilities and the second-order effects of AI replacing workers while generating dysfunction in core systems.

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