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Comment by bko

People often forget that paying someone to do something is an expense, not a benefit.

Sure, people need jobs, but not jobs that can be done by cheaper and more effectively by machines. Employment opportunities are not a means of themselves.

This (IMO flawed) economic thinking is best captured by economist Keynes:

"If the Treasury were to fill old bottles with banknotes, bury them at suitable depths in disused coalmines which are then filled up to the surface with town rubbish, and leave it to private enterprise on well-tried principles of laissez-faire to dig the notes up again (the right to do so being obtained, of course, by tendering for leases of the note-bearing territory), there need be no more unemployment and, with the help of the repercussions, the real income of the community, and its capital wealth also, would probably become a good deal greater than it actually is. It would, indeed, be more sensible to build houses and the like; but if there are political and practical difficulties in the way of this, the above would be better than nothing." [0]

[0] Book 3, Chapter 10, Section 6 pg.129 "The General Theory.."

parent bko 11 years ago

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