Maybe a weird question, but how does a capitalist economy work where AGI-performed-labor is categorically less expensive than human-performed labor? Do most people who labor for wages just go unemployed, and then bankrupt, and then die?
The question shows a total disconnect from reality. People who are unemployed with no money today don't die. Even street people don't die.
If AGI labor is cheaper and as effective as human labor, prices will drop to the point where the necessities cost very little. People will be able to support themselves working part-time jobs on whatever hasn't been automated. The tax system will become more redistributive and maybe we'll adopt a negative income tax. People will still whine and bitch about capitalism even as it negates the need for them to lift a single finger.