>If we produce enough of everything with less labor, each individual will work fewer hours to get all of their needs met.
No they won't. If people work fewer hours, they'll simply be paid less, barring legal limitations like a minimum wage. Meanwhile, costs will remain the same.
People are paid in goods/services, fundamentally. As production per hour of labor increases, so does wages, since there are fewer hours chasing more goods.
No they won't. If people work fewer hours, they'll simply be paid less, barring legal limitations like a minimum wage. Meanwhile, costs will remain the same.