>"Recalling the famous example of the pin factory that Adam Smith used to explain the division of labour, Russell imagined a new technology that will halve the amount of time it takes to make a pin. If the market for pins is already saturated, what will happen?
In a sane world, Russell thought, the factory would simply halve working hours, maintaining the same wages but greatly increasing the time that the workers could devote to the joys of leisure. But, as Russell observed, this rarely happens. Instead, the factory owner will opt to keep half the workers on the same hours and lay off the rest."
The cost for a single pin will be reduced and the labor required to consume a single pin will also be reduced. Money saved is an opportunity for leisure.
In a sane world, Russell thought, the factory would simply halve working hours, maintaining the same wages but greatly increasing the time that the workers could devote to the joys of leisure. But, as Russell observed, this rarely happens. Instead, the factory owner will opt to keep half the workers on the same hours and lay off the rest."
The cost for a single pin will be reduced and the labor required to consume a single pin will also be reduced. Money saved is an opportunity for leisure.