The Meb Faber Show · Monday, August 31, 2026
Paul Kedrosky points out that AI is experiencing a rapid deflationary curve, describing it as the fastest deflating commodity in the history of quasi-industrial commodities, with prices falling an estimated 70-80% annually.
“That there's an exponential adoption curve, but there's also an exponential deflation curve. It's the fastest deflating commodity in the history of quasi industrial commodities, falling something like 70 or 80% a year.”