Lump of Labor

Lump of Labor

The idea that the amount of work that can be done in an economy is fixed. According to this idea, competition for a job is a zero-sum game because there can only be so many possible jobs. Most economists reject the lump of labor hypothesis.
References in periodicals archive ?
Periods of slow growth, like the past decade, are when the economy starts to feel zero sum, and when fallacious lump of labor thinking tends to emerge in public policy discussions.
If you subscribe to the lump of labor fallacy, then you would think that these older workers would take jobs away from younger workers.