Comment True, but he still doesn't quite get it (Score 1) 674
Something you'll never hear a politician say is that one of the goals of a real economy is to eliminate jobs. But over the long term that's exactly what makes our lives better. As technology replaces labor and makes products cheaper, we as a society spend less of a portion of our income on that, and can spend more on something else, possibly something entirely new, that we desire, thus improving our standard of living.
Very few people want to a job if they don't have to have one - they want the "stuff" and leisure time that the money they earn in that job can get them.
Think about it in terms of the broken window fallacy. Say there's a window guy, who has to repair our windows every time they break. So whenever that happens, people have to spend a portion of their income to have that fixed. So small disasters (and big, if you listen to the news) look like a boon to the economy because it gets people to get rid of their money in ways they wouldn't have otherwise - without broken windows, that guy would be out of a job!
But imagine if windows never broke. The repairman would be doing something else that's valued by society, perhaps making suits. With the money that everyone saves by never having to replace windows (and technically those jos lost), we could more easily afford to get those new suits. And society is wealthier and our standard of living improves, because we have suits that it wouldn't have had if the job-killing window tech hadn't come along.
I'm not saying it's great for the repair guy in the short term. He does have to find a new line of work, just like the telephone operators did. 90% of people used to have to be farmers and the vast majority of those jobs no longer exist. But now food is so much smaller of a portion of our incomes that we can have other great things in our lives. Computers, A/C, video games, music, and more leisure, that we all desire.
Very few people want to a job if they don't have to have one - they want the "stuff" and leisure time that the money they earn in that job can get them.
Think about it in terms of the broken window fallacy. Say there's a window guy, who has to repair our windows every time they break. So whenever that happens, people have to spend a portion of their income to have that fixed. So small disasters (and big, if you listen to the news) look like a boon to the economy because it gets people to get rid of their money in ways they wouldn't have otherwise - without broken windows, that guy would be out of a job!
But imagine if windows never broke. The repairman would be doing something else that's valued by society, perhaps making suits. With the money that everyone saves by never having to replace windows (and technically those jos lost), we could more easily afford to get those new suits. And society is wealthier and our standard of living improves, because we have suits that it wouldn't have had if the job-killing window tech hadn't come along.
I'm not saying it's great for the repair guy in the short term. He does have to find a new line of work, just like the telephone operators did. 90% of people used to have to be farmers and the vast majority of those jobs no longer exist. But now food is so much smaller of a portion of our incomes that we can have other great things in our lives. Computers, A/C, video games, music, and more leisure, that we all desire.