I agree with this and I’m glad you wrote it.
To steelman the other side I would point to 16th century new world encounters between Europeans and Natives. It seems like this was a case where the technological advantage of the Europeans made conquest better than comparative advantage trade.
The high productivity of the Europeans made it easy for them to lawfully accumulate wealth (e.g buying large tracts of land for small quantities of manufactured goods), but they still often chose to take land by conquest rather than trade.
Maybe transaction frictions were higher here than they might be with AIs since we’d share a language and be able to use AI tools to communicate.
Maxwell Tabarrok
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Thank you for reading and for your well thought out comment!