[HN Gopher] Remembrance of Work Time Standards Lost (2001)
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       Remembrance of Work Time Standards Lost (2001)
        
       Author : robtherobber
       Score  : 16 points
       Date   : 2023-01-14 14:34 UTC (8 hours ago)
        
 (HTM) web link (web.archive.org)
 (TXT) w3m dump (web.archive.org)
        
       | Mathnerd314 wrote:
       | This is a polemic, the chapter he refers to is actually a cogent
       | argument:
       | https://citeseerx.ist.psu.edu/document?repid=rep1&type=pdf&d...
       | 
       | Basically he traces the origin of the "fallacy" back to "a
       | hodgepodge of borrowed working-class slang, middle-class
       | prejudice, and archaic economic doctrine" from David Schloss in
       | 1891, and shows it had nothing to do with the 8-hour day effort
       | at the time. The "lump-of-labor fallacy" is essentially a
       | strawman trotted out by opponents of lower hours as a rhetorical
       | device, similar to how the waterfall model never existed before
       | Agile came along as "the alternative". (See e.g.
       | https://pragtob.wordpress.com/2012/03/02/why-waterfall-was-a...)
       | 
       | Then he uses Chapman's theory of hours and some estimates from
       | Denison to show that most likely the 35 hour work week would
       | result in lower unit labor costs, increased demand, and a net
       | gain in productivity overall from the redistribution of working
       | time.
       | 
       | Then he gets into a discussion of fixed costs, and basically says
       | "the government can subsidize the transition by restructuring
       | taxes".
       | 
       | I'm not saying his arguments are sound, although they don't seem
       | obviously wrong, but the chapter is certainly a lot better than
       | the original link, which just summarizes the strawman conclusion
       | but not the evidence.
        
       | robocat wrote:
       | I suspect the problem is that the fallacy has assumptions, and
       | like most economic theories you need to know what those
       | assumptions are.
       | 
       | The assumptions get shown when thinking about why many countries
       | are raising retirement ages, or what happens to work when
       | pandemics occur, or just how fungible people are between
       | different jobs, or why we allow immigration.
       | 
       | The article says that the author thinks the "lump of labour
       | fallacy" is wrong, but doesn't provide any hint as to why they
       | think there actually is a lump of labour (except to read their
       | other work).
       | 
       | A very sloppy editorial in The Economist on the topic:
       | https://archive.ph/attgx
       | 
       | [minor edits]
        
       | blep_ wrote:
       | This is the most frustrating kind of article: "I think this thing
       | is bad and will spend several paragraphs explaining why, but will
       | explicitly refuse to tell you what it is."
       | 
       | https://en.wikipedia.org/wiki/Lump_of_labour_fallacy
       | 
       | > In economics, the lump of labour fallacy is the misconception
       | that there is a fixed amount of work--a lump of labour--to be
       | done within an economy which can be distributed to create more or
       | fewer jobs.
        
         | goodSteveramos wrote:
         | Economics is a strange field. True statements are "fallacies"
         | and fallacies like the rational actor model are axioms.
        
           | SantalBlush wrote:
           | People on HN like to make things up about the field of
           | economics, and then complain as a group about those things
           | they just made up.
        
           | notahacker wrote:
           | Are you seriously arguing the lump of labour fallacy is
           | actually a true statement, and the amount of work to be done
           | in the economy is fixed?
        
             | marcosdumay wrote:
             | Hum... There is a couple thousands of words article at the
             | top explaining why what you say is meaningless propaganda.
             | But TLDR, only you care about the lump of labor fallacy,
             | the people you are talking with never used it.
        
               | notahacker wrote:
               | The article contained a couple of thousand words, but
               | neither it, nor Sydney Chapman, nor the person I replied
               | to provided a single actual argument for why the lump of
               | labour fallacy is not a fallacy. The article contains no
               | statements about why the lump of labour fallacy is
               | incorrect, not even any about why it might not be
               | applicable to his proposals, but two statements that
               | readers don't need to know what it is, they should take
               | his word for it that it's bad (hmm... what was that about
               | meaningless propaganda?!)
               | 
               | Do you believe the quantity of work that there is to be
               | done in an economy is fixed and the work readily
               | substitutable, so if HN dropped down to 10 hour weeks the
               | result would be unemployed factory workers all finding
               | jobs writing backend code, not less software development
               | work being done (and probably 10 hour work week devs
               | buying less stuff from factories)?
               | 
               | Unless you do, the lump of labour fallacy is a fallacy.
        
           | dragonwriter wrote:
           | The rational actor model is not a fallacy, nor is it
           | axiomatic in economics.
        
           | pjscott wrote:
           | The lump-of-labor thing was called a fallacy by someone
           | arguing that the amount of labor to be done in society is not
           | fixed: if you happen to have people with a bunch of time on
           | their hands, they can usually find something useful to do
           | that would not otherwise get done. And as for the rational
           | actor model, everyone knows that it's not true; the reason
           | people use it is that its predictions are often surprisingly
           | close to the truth. ("All models are wrong, but some are
           | useful.")
        
         | notahacker wrote:
         | The bit where he references Sydney Chapman's obscure theory as
         | being of critical importance and then doesn't actually tell you
         | what it actually stated is even more annoying.
         | 
         | This paper - funnily enough written by the article author -
         | does attempt to tell you what Chapman argued. https://papers.ss
         | rn.com/sol3/papers.cfm?abstract_id=1125543#....
         | 
         | Assuming his paraphrase is accurate, Chapman argued that
         | workers would act against their interests by picking higher pay
         | over shorter hours, and employers would respond in kind by
         | poaching employees from rivals by offering higher salaries for
         | longer hours. It's also implied that this is somehow also
         | against the corporation's long term interest but without a
         | proper explanation of why; but perhaps the original writing
         | offered a less muddled concept of the "optimal" amount of
         | working hours (for whom, on what basis?) than the paraphrase.
         | 
         | That provides some theoretical justification for state limits
         | on reducing working hours in the interests of preserving
         | employee health, something which happened in many industries a
         | year after Chapman made his argument (a bunch of industries
         | where people worked an average of 57 hours saw a mandatory 48
         | hour maximum working week; though I suspect arguments that UK
         | mining and manufacturing workers didn't have much choice over
         | schedules was a larger factor in that decision than the
         | assumption they were working those hours out of greed)
         | 
         | But I'm not sure this theory which doesn't have a whole lot of
         | empirical support particularly conflicts with what mainstream
         | economists believe[1] or gives us any reason to support the
         | author's contention that the "optimal" maximum working week is
         | 35 hours.
         | 
         | [1]few economists will argue for the benefits of a 57 hour work
         | week, and other theories in labour economics acknowledge
         | certain scenarios in which workers will become overly fixated
         | on the size of their pay package over longer term
         | considerations
        
           | marcosdumay wrote:
           | My reading of the article is that there are two main claims
           | in it:
           | 
           | 1 - There exists an optimum amount of working hours that
           | maximize the society's wealth.
           | 
           | 2 - A competitive labor market will maximize the hours
           | worked, completely ignoring the optimal value.
           | 
           | He cites Javon (from the famous "paradox" that the "lump of
           | labor fallacy" fallacy misinterprets) for item 1, but does
           | not supply a reference.
        
       | jrm4 wrote:
       | People are having an issue with him "not naming the issue" in the
       | article, but for what it's worth, I understand why?
       | 
       | There is _so so much_ in mainstream economics that  "feels rooted
       | in fact," aka, lies or more accurately, overly-relied-on-
       | unprovable-theories, the work of trying to debunk them can make
       | one forget which one you're talking about today.
        
       | kkfx wrote:
       | I think this classic explain better, and in general:
       | https://i.ibb.co/gdTBXT0/Corp-Whining-Hist.jpg
        
       | dahdum wrote:
       | I enjoy how the author skips facts and reasoned arguments and
       | just tells me how I should feel, which is mostly angry. Also I
       | appreciate him assuring me I don't need to critically think about
       | or do any research on the topic at all. It's just so obvious that
       | the mainstream economists are wrong.
       | 
       | His style would do well in journalism today.
        
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