The Michael Knowles Show: "Friendly Fire" — Rising Prices, Rising AI, and the Rise of the Merlin World Premiere Trailer
Date: November 20, 2025
Host: The Daily Wire (Michael Knowles, Ben Shapiro, Matt Walsh, Andrew Klavan, Drew)

Main Theme & Purpose

This episode of "Friendly Fire" brings together Daily Wire personalities to tackle two of the era’s hottest issues: the societal and economic impact of Artificial Intelligence (AI), and the broader concern over rising unaffordability and economic malaise in America. The hosts discuss whether AI is truly an existential threat or yet another technological transition, dive into the erosion of community and economic opportunity, and debate government versus market solutions. Throughout, they emphasize the interplay between cultural, moral, and economic health, closing with the much-anticipated world premiere trailer for "Pendragon: Rise of the Merlin."

Key Discussion Points & Insights

1. AI: Boon, Bane, or Both?

Timestamps: 01:38 – 32:58

A. The Spectrum of AI Anxiety

• Matt Walsh opens by voicing deep skepticism about AI, labeling himself increasingly "anti-AI."

  • Predicts millions of jobs will be lost permanently within the next decade (cites 15-25 million jobs; [02:24]).
  • Fears the inability to distinguish AI-generated content from reality: “We will soon be in a situation online where you just simply cannot tell reality from fiction at all.” ([02:24])
  • Raises concerns over the destruction of the creative industries and the consequences of algorithmic content “melting minds.”

• Ben Shapiro acknowledges an economic bubble in AI but rejects doomsday scenarios.

  • Predicts job displacement but not wholesale job loss.
  • Foresees a shift from white-collar to blue-collar jobs: “All the people who are telling welders to code… are now going to have to go learn to weld.” ([05:33])
  • Insists that religious and community-oriented people will handle displacement better: “Religious people… will be fine because we actually have a thing to do with our day.” ([05:33])
  • Doubts AI will ever replace true creativity or great writing, viewing current outputs as "midrange slop" ([05:33]).

• Michael Knowles expresses concern for average people who lack a strong sense of meaning or direction, predicting AI will exacerbate cultural and intellectual decline.

  • Warns that, like the internet, AI will make “most people… dumber and… more likely to look at porn, and ignore the great works.” ([09:43])

• Andrew Klavan reframes the problem: "It's not AI, it's human beings." AI will be used for destructive purposes due to humanity’s sinful nature.

  • Notes disturbing trends: AI-generated “idolatry” (e.g., simulations of deceased relatives) and manipulation of children.
  • Shares a dialogue with an AI leader: “When an AI speaks, it’s not conscious… They are convinced that because it can imitate an inner life, they think…the Turing Test…is indicative of an inner life.” ([11:05])

B. Creativity, Leisure, and Social Health

• The hosts debate whether AI can truly create — particularly poetry and art. Knowles asserts AI “can’t write a poem” because it lacks sensory experience ([13:32]), though robotics might change this.
• Matt Walsh grounds the discussion: “How are people going to eat? …How are you going to feed yourself? How are you going to make money to buy a house?” ([14:35]) Walsh opposes the idea that AI job destruction is analogous to past technological shifts, saying AI’s goal is human replacement, not augmentation.

C. Will New Jobs Emerge?

• Drew challenges Walsh’s pessimism with historical context: “This has happened a million times before. You can't imagine what the new job is going to be, but there’ll be jobs to do because people are endlessly creative.” ([19:27])
• Ben Shapiro agrees: “Jobs tend to move around and human beings are quite adaptable.” ([20:39])
• Matt Walsh remains unconvinced, especially for jobs that disappear entirely (drivers, customer service).

D. Government Regulation or Market Solutions?

• Ben Shapiro: Advocates for minimal regulation, except regarding morality (e.g., restricting AI-generated porn) and national security.

  • “If AI, for example, in medical industry extends lifespans by another 20 years… that seems like a pretty good thing to happen.” ([23:25])
  • Argues that banning AI would only cede dominance to China.

• Matt Walsh: Calls for serious legislative debate, especially around intellectual property and creative theft.

  • “...what I know, the answer can’t be, ‘well, whatever, we'll see how it plays out.’ That can't be the answer when you're facing something that is going to fundamentally alter our civilization.” ([25:46])
  • Suggests potential laws to limit companies from eliminating entire job categories overnight.

• Drew and Ben Shapiro agree the bigger threat is not economic, but cultural: Unchecked human nature using AI to indulge vices (pornography, sloth, misinformation).

Memorable Quotes

• Matt Walsh: “If I could commit some sort of anti-AI genocide, I would totally do it.” ([02:24])
• Andrew Klavan: “The problem is not the AI per se...It's what people are going to do with it. It is going to make porn spectacular.” ([11:05])
• Michael Knowles: “To write a poem, you have to have sensual experience.” ([13:32])

2. Affordability and the Fracturing of the American Economy

Timestamps: 32:58 – 66:02

A. The Dilemma of Mobility and Family Roots

• Michael Knowles frames the “affordability” crisis: Rising costs, population shifts, and the hard truth that “Manhattan will never be as affordable as Des Moines.” ([36:45])
• Ben Shapiro recounts the personal advice that triggered controversy: If you can’t afford to live in your town, you should consider moving — reflecting what he sees as a core American adaptability ([36:45]).
• A nuanced debate unfolds over mobility, local roots, and who/what is to blame:
  • Knowles points out: Many people are being forced out of their towns due to policies (mass immigration, trade deals) that erode opportunities ([41:00]).
  • Ben Shapiro defends the need for personal initiative but agrees family and local ties matter: “I took [my parents] with me [to Florida].” ([42:35])
  • Matt Walsh splits the difference, supporting young people seeking opportunity, but lamenting that “something is wrong…You should be able to…live around your family. We need policies in place that make it possible.” ([43:40])
  • All agree that mass illegal immigration has worsened the housing crisis, eroded wages, and should be reversed.

B. Economic Policy & Potential Solutions

• Ben Shapiro: Solutions for affordability are simple in economic theory — increase supply or reduce demand. "There is no magical third way" ([36:45]).
• Klavan: Suggests innovative capitalism, like companies offering stock grants, to boost shared economic participation ([48:16]).
• Matt Walsh and others: Affirm that government bears responsibility, not just markets, especially regarding inflation and availability of housing.
  • Klavan: "Government creates inflation. People do not. It's not the greedy banks… it’s the government." ([48:16])

C. GDP vs. Social Health

• Knowles cautions against judging an economy’s health solely by GDP, citing booming industries like pornography and gambling as net social negatives despite economic activity. Urges a broader definition of well-being ([57:33]).
• Shapiro draws a line between economic vs. social health, arguing that Americans are materially better off than generations past, but societal problems (loneliness, depression, plummeting birth rates) require cultural or spiritual, not economic, solutions ([59:36]).
• Klavan points to declining birth rates and eroded gender roles as deeper indicators of a society in crisis, irrespective of material improvements ([58:41]).

D. Tradition, Mobility, and Community

• Final section circles back to the desirability (and possibility) of deep roots and stable communities in America. Shapiro points to statistical trends showing Americans are less mobile today than generations past; others counter that mobility is not inherently desirable for most ([62:33]).
• Drew: "Exceptional people move...but most people are not exceptional. And you want a country filled with communities." ([63:12])

Memorable Quotes

• Ben Shapiro: “The only thing that is going to create affordability is a dynamic and innovative economy...then you’re going to need to get the hell out of the way.” ([52:16])
• Matt Walsh: “The desire to stay in your community, where you were born, where your family is, stay with your support system...is a good desire. There’s nothing wrong with that.” ([63:40])
• Klavan: “You can have a very economically healthy society that is breaking down in a lot of social ways with, with tremendous pathologies.” ([59:36])

3. The Pendragon Cycle — World Premiere Trailer

Timestamps: 67:46 – 70:29

• The episode ends with the exclusive world premiere of The Pendragon Cycle: Rise of the Merlin trailer. The trailer sets an atmospheric, mythic tone and features dramatized narration and dramatic music.

Notable Quotes & Memorable Moments (with Timestamps)

• Matt Walsh on AI (02:24):
  “If I could commit some sort of anti AI genocide, I would totally do it.”

• Ben Shapiro on the future of work (05:33):
  “All the people who are telling welders to code 15 years ago… are now going to have to go learn to weld.”

• Andrew Klavan on human nature and AI (11:05):
  “The problem is not AI per se... it’s what people are going to do with it. It is going to make porn spectacular.”

• Michael Knowles on culture (13:32):
  “To write a poem, you have to have sensual experience.”

• Drew on economic history (19:27):
  “This has happened a million times before. You can't imagine what the new job is going to be, but there’ll be jobs…”

• Ben Shapiro on prosperity and values (20:39):
  “My work actually comes maybe third or fourth on the list after family and religion and, and the stuff that I’m doing in my community and for the country.”

• Ben Shapiro on government promises (36:45):
  “There is no magical third way. The only way things become more affordable is if the supply greatly outstrips the demand.”

• Andrew Klavan on community (63:12):
  “Exceptional people move. ...Most people are not exceptional. And you want a country filled with communities and filled with, you know, people with traditions and things like that.”

• Michael Knowles on economic indicators (57:33):
  “Maybe GDP isn't the be all and end all of everything. And maybe there are certain areas of the economy that are legitimately immoral and destructive…”

Important Segment Timestamps

| Topic/Transition | Start Timestamp | |-----------------------------------|----------------| | AI & Job Losses Debate | 01:38 | | Can AI Be Regulated? | 25:46 | | Affordability, Economic Policy | 32:58 | | Cultural/Social vs. Economic Health| 57:33 | | Tradition & Mobility | 62:33 | | Pendragon Cycle Trailer | 67:46 |

Summary Flow

The hosts traverse elitist and working-class perspectives, inject humor, and repeatedly return to big-picture concerns: meaningful work, the consequences of technological change, and the necessity of cultural renewal over materialistic fixes. They agree that many proposed political solutions are shallow or illusory, while the most impactful problems — mass migration, cultural decline, the collapse of community — demand a mix of practical and moral answers.

Tone & Style

The conversation is playful, combative, and deeply skeptical of both utopian futurism and government overreach. The hosts blend philosophical seriousness with wry humor, Ivy-league snark, and the curmudgeonly wit that defines the Daily Wire’s house style.

Note:
All advertisements, intros/outros, and ad reads were omitted from this summary to maintain focus on substantive discussion.