The most challenging part of software development (and the reason we have well-paying jobs) is not understanding syntax, it's analysing and abstracting a problem domain into a set of cleanly separated modules that interact to solve those problems. That being the case then, actually none of us is getting replaced by GPT-n any time soon - 'prompt engineering' will just become the new Javascript, only more abstract; just another tool in the toolbox. Hopefully :-)
Correct. But once everyone has that tool in their toolbox everyone will become more productive, meaning skills scarcity will be greatly reduced. In turn that will lead to massive wage depression.