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Originally Posted by Letum
If it is that, or long term unemployment due to lack of non-service/skill jobs they will have no choice.
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There is a third choice, welfare, which as you know can be a way of life for some folks. After all why work for peanuts when you can make more sitting on your butt? But that still doesn't address the 20%s continued desire to have all those workers. I think that's not a given anymore.
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At various points in history there has been an abundance of cheap labor and it certainly was used by the affluent middle classes.
That said, cheep labor isn't just useful in the home once manufacturing
is almost totally automated (I don't think it ever will be). There are any
number of things cheep human labour can do that machines can not.
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You're assuming there will be an affluent middle class large enough to accommodate all that cheap labor. We're loosing jobs in those classes as well as technology replaces skill and talent with automation.
But I think your theory will work right up until it doesn't. That's when Madam Guillotine will make her appearance and everything goes to pot...