Will robots cause the factory to go the way of the farm? Many economists seem to think so. “Rising levels of productivity benefit manufacturing,” declares a recent paper from the Federal Reserve Bank of St. Louis, “but also naturally lead to declining employment—much as the agricultural sector has experienced declining employment and rising output in the twentieth century.” Since the end of World War II, technology has caused agriculture’s share of U.S. employment to drop from nearly 10% to just 1%.
This analysis misses a point that becomes obvious once you think about it: One can eat only so much. […]
Full Post at www.wsj.com