I'm basing this on what US courts have decided. You're free to disagree with them all you'd like, but AI-generated art is not copyrightable. We're seeing an explosion in non-copyrightable art, and when we get down to some small fraction of art being copyrightable, nobody will give a shit about copyright anymore. You also talk about the economy, and guess where the economoc incentives are aligned towards? Hint: it's not towards having expensive humans generate art.

I guess we'll just have to feel that the other is wrong as we wait to see what happens, but I'm betting on existing US regulation and basic human behavior. That's a tall order to bet against.