"So far the information technology revolution doesn´t hold a candle to previous technology revolutions," Krugman said in an interview with Business Insider  editor-in-chief Henry Blodget. 

"The really big revolutions were the ones that took place largely towards the end of the 19th century that actually powered growth for a long time after that."

But now, with driverless cars becoming a reality, technology is closer to affecting our physical world — , among others.

Watch Krugman making the case against technology pessimists below.