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12 " Some people believe labor-saving technological change is bad for the workers because it throws them out of work. This is the Luddite fallacy, one of the silliest ideas to ever come along in the long tradition of silly ideas in economics. Seeing why it's silly is a good way to illustrate further Solow's logic.The original Luddites were hosiery and lace workers in Nottingham, England, in 1811. They smashed knitting machines that embodied new labor-saving technology as a protest against unemployment (theirs), publicizing their actions in circulars mysteriously signed " King Ludd." Smashing machines was understandable protection of self-interest for the hosiery workers. They had skills specific to the old technology and knew their skills would not be worth much with the new technology. English government officials, after careful study, addressed the Luddites' concern by hanging fourteen of them in January 1813.The intellectual silliness came later, when some thinkers generalized the Luddites' plight into the Luddite fallacy: that an economy-wide technical breakthrough enabling production of the same amount of goods with fewer workers will result in an economy with - fewer workers. Somehow it never occurs to believers in Luddism that there's another alternative: produce more goods with the same number of workers. Labor-saving technology is another term for output-per-worker-increasing technology. All of the incentives of a market economy point toward increasing investment and output rather than decreasing employment; otherwise some extremely dumb factory owners are foregoing profit opportunities. With more output for the same number of workers, there is more income for each worker.Of course, there could very well be some unemployment of workers who know only the old technology - like the original Luddites - and this unemployment will be excruciating to its victims. But workers as a whole are better off with more powerful output-producing technology available to them. Luddites confuse the shift of employment from old to new technologies with an overall decline in employment. The former happens; the latter doesn't. Economies experiencing technical progress, like Germany, the United Kingdom, and the United States, do not show any long-run trend toward increasing unemployment; they do show a long-run trend toward increasing income per worker.Solow's logic had made clear that labor-saving technical advance was the only way that output per worker could keep increasing in the long run. The neo-Luddites, with unintentional irony, denigrate the only way that workers' incomes can keep increasing in the long-run: labor-saving technological progress.The Luddite fallacy is very much alive today. Just check out such a respectable document as the annual Human Development Report of the United Nations Development Program. The 1996 Human Development Report frets about " jobless growth" in many countries. The authors say " jobless growth" happens whenever the rate of employment growth is not as high as the rate of output growth, which leads to " very low incomes" for millions of workers. The 1993 Human Development Report expressed the same concern about this " problem" of jobless growth, which was especially severe in developing countries between 1960 and 1973: " GDP growth rates were fairly high, but employment growth rates were less than half this." Similarly, a study of Vietnam in 2000 lamented the slow growth of manufacturing employment relative to manufacturing output. The authors of all these reports forget that having GDP rise faster than employment is called growth of income per worker, which happens to be the only way that workers " very low incomes" can increase. "

13 " There is strange, and yet not strange, is the kiss. It is strange because it mixes silliness with tragedy, and yet not strange because there is good reason for it. There is shaking by the hand. That should be enough. Yet a shaking of hands is not enough to give a vent to all kinds of feeling. The hand is too hard and too used to doing all things, with too little feeling and too far from the organs of taste and smell, and far from the brain, and the length of an arm from the heart. To rub a nose like the blacks, that we think is so silly, is better, but there is nothing good to the taste about the nose, only a piece of old bone pushing out of the face, and a nuisance in winter, but a friend before meals and in a garden, indeed. With the eyes we can do nothing, for if we come too near, they go crossed and everything comes twice to the sight without good from one or other.

There is nothing to be done with the ear, so back we come to the mouth, and we kiss with the mouth because it is part of the head and of the organs of taste and smell. It is temple of the voice, keeper of breath and its giving out, treasurer of tastes and succulences, and home of the noble tongue. And its portals are firm, yet soft, with a warmth, of a ripeness, unlike the rest of the face, rosy, and in women with a crinkling of red tenderness, to the taste not in compare with the wild strawberry, yet if the taste of kisses went , and strawberries came the year round, half of joy would be gone from the world. There is no wonder to me that we kiss, for when mouth comes to mouth, in all its stillness, breath joins breath, and taste joins taste, warmth is enwarmed, and tongues commune in a soundless language, and those things are said that cannot find a shape, have a name, or know a life in the pitiful faults of speech. "

Richard Llewellyn , How Green Was My Valley