Let's say AI gets so good that it is better than people at most jobs. How can that economy work? If people aren't working, they aren't making money. If they don't have money, they can't pay for the goods and services produced by AI workers. So then there's no need for AI workers.

UBI can't fix it because a) it won't be enough to drive our whole economy, and b) it amounts to businesses paying customers to buy their products, which makes no sense.

The most likely scenario is that everyone but those who own AI starves, and the ones who remain around are allowed to exist because powerful psychopaths still desire literal slaves to lord over, someone to have sex with and to someone to hurt/hunt/etc.

I like your optimism, though.

>exclusively entertainment related

We may find that, if our baser needs are so easily come by that we have tremendous free time, much of the world is instead pursuing things like the sciences or arts instead of continuing to try to cosplay 20th century capitalism.

Why are we all doing this? By this, I mean, gestures at everything this? About 80% of us will say, so that we don't starve, and can then amuse ourselves however it pleases us in the meantime. 19% will say because they enjoy being impactful or some similar corporate bullshit that will elicit eyerolls. And 1% do it simply because they enjoy holding power over other people and management in the workplace provides a source of that in a semi-legal way.

So the 80% of people will adapt quite well to a post-scarcity world. 19% will require therapy. And 1% will fight tooth and nail to not have us get there.