Mish Bet Redux
By Bryan Caplan
There is always a chance that some new technological revolution will
happen to undermine my pessimistic scenario. Certainly a development in
clean energy could create a massive number of jobs. There is also a
chance of an advancement in the medical field that would do the same.
am sure something good will eventually happen, it always does, but I
doubt it will be that soon or even if it does happen soon, that it will
create huge jobs in the United States as opposed to elsewhere.
… I can only furrow my brow. My view, like almost all economists’, is that you don’t need new technology to “create jobs.” All you need to employ any number of people at any state of technology is for prices and wages to adjust. And while these adjustments don’t happen instantly, five years is plenty of time for the labor market to get itself in order.