The apocryphal story here is as that of the successful plumber. He works hard, learns his trade, and eventually starts his own plumbing business. This business employs two other plumbers. He also has a wife and three children. As they age, his business grows. By the time his children are 17, he employs twelve other plumbers and is worth over two million dollars. He speaks to his sons about joining his business. All t…
During the course of your story, the worker-to-owner ratio has grown from 1:1, to 100:1. So the chance of the three children actually improving their lot as plumbers has actually gone down, not up. And your story doesn't mention the recession, or the replacement of plumbing labor by technological innovations. A similar story is happening in farming. But it's a good lesson, as it teaches the relative productivity of c…
And yes, technological innovations might be a concern. But the job of middle management might well disappear before the job of a plumber. Ask yourself which is easier to automate.
Farming has been on such a course for a very long time. Quite evident if you look at the tiny percentage of the population that produces America's food today, compared with everyone growing their own only a few thousand years ago.
On this and your point about productivity of capital vs labor, do you have a solution? Quite frankly, I've heard a lot of issues raised around this point, but few good solutions, let alone solutions that don't involve the government.