Introduction
The modern economy resembles the parable of the blind men examining an elephant—each perceives a different part, but no one sees the whole. Branko Milanovic’s Elephant Curve is the key to understanding the paradoxes of globalization: from Asia's spectacular rise and the stagnation of the Western middle class to the dominance of digital elites. In the age of the AI revolution and behavioral economics, traditional growth models are failing. Can we transform technological power into widespread prosperity, or will computational asymmetry ultimately deepen social fractures? This article analyzes the mechanisms driving the modern world and seeks the foundations of a new, creative responsibility.
The Elephant Curve: Asia’s Triumph and Western Stagnation
The Elephant Curve illustrates the global distribution of income: the massive "body" represents the new middle class in Asia that has escaped poverty, while the "dip" at the base of the trunk symbolizes decades of stagnation for the middle class in the wealthy West. The high-reaching "trunk" represents the spectacular wealth accumulation of the top 1%. This fragmented picture is complemented by behavioral economics. Kahneman’s findings on System 1 (intuitive) and System 2 (reflective) have become a manual for corporate manipulation. Companies deliberately exploit our cognitive biases to steer demand, causing income distribution to no longer reflect real productivity.
Money creation and its evolution toward digital records deepen these inequalities. Between 2000 and 2024, the wealthiest one percent of the population captured 41% of all new wealth. Although productivity remains the engine of history—from the kerosene lamp to the LED—its fruits are distributed unevenly. Capital systematically triumphs over labor, making distributive justice not just an ethical postulate, but a prerequisite for the stability of capitalism itself.
AI Automation: Polarization and New Development Models
Artificial intelligence is a general-purpose technology that could bring a quantum leap in prosperity or a brutal polarization of the labor market. The Nordic model adapts to AI through high trust and social dialogue, treating technology as a support for the citizen. Conversely, the German model sees it as a tool to defend its industrial base. In the US and Asia, the focus is on market dominance and mass production, giving rise to computational asymmetry—a situation where algorithms know our preferences better than we do, turning the firm-consumer relationship into a form of digital surveillance.
For developing countries, especially in Africa, AI offers a chance to leapfrog development stages but also carries the risk of data colonialism. Local information resources are exploited by global corporations, which may entrench a new form of dependency. Without wise public policy, AI will reinforce the trends seen in the Elephant Curve: financial elites will gain the most, and the middle class in developed countries may once again be pushed down by the automation of cognitive tasks.
AI Regulation and the Creative Responsibility of Elites
Is AI regulation possible within a market system? A logical puzzle exposes the contradiction: one cannot simultaneously pursue pure utilitarian efficiency and full democratic control that guarantees justice. Elite reforms, including higher wealth taxes or global fiscal coordination, are the price for the system's survival. Thomas Thwaites’s Toaster Project reminds us of the fragility of global chains—no country can build a full AI technology stack on its own, which necessitates international cooperation.
The key to the future is creative responsibility. Innovations must be embedded in ethical frameworks that prevent humans from being pushed out of meaningful work. Justice, as suggested by Wolniewicz, is a measure, not simple equality. Setting limits on inequality and the power of algorithms is essential for technology to serve human reason rather than becoming a blind force destroying social cohesion.
Conclusion
In a world where technology blurs the lines between progress and exploitation, the key question becomes: can we distinguish real benefits from a mirage of promises? The Elephant Curve and the AI revolution show that without conscious self-restraint by elites and distributive reforms, capitalism may lose its legitimacy. The future depends on whether we learn to direct progress so that it serves everyone, not just the few beneficiaries of the "elephant's trunk." The responsibility for shaping this change rests on all of us—from regulators to conscious consumers.
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