Perhaps the most persistent delusion about economics is the lump of labor fallacy, the notion that the amount of work available in an economy is fixed and the more people you have, the more unemployment you have – instead of recognizing that the amount of work is not static, and people create more of it. One of the most vivid arguments against the lump of labor fallacy unfolded almost 50 years ago, when Uganda dictator Idi Amin expelled some 60,000 South Asians to ensure that “the average Ugandan enjoys the wealth of his country.”
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