To be sure, technological progress has always displaced workers. But it also has created new opportunities for human employment, at an even a faster rate. This time, things may be very different – especially as the Internet of Things takes the human factor out of so many transactions and decisions. The “Second Economy” (the term used by economist Brian Arthur to describe the portion of the economy where computers transact business only with other computers) is upon us. It is, quite simply, the virtual economy, and one of its main byproducts is the replacement of workers with intelligent machines powered by sophisticated code. This booming Second Economy is brimming with optimistic entrepreneurs, and already spawning a new generation of billionaires. In fact, the booming Second Economy will probably drive much of the economic growth in the coming decades.
William H. Davidow and Michael S. Malone in Harvard Business Review (Dec-2014)