Utopia

In many science fiction stores automation nearly always led to greater material possessions AND more leisure time for the average person. This view was predicated on the savings created by more production with less effort being equally shared between all levels of society. So what happened to this utopian view of the future? Simple really, the stories author’s forgot that there is no inherent reason for the people who can keep that wealth to themselves to share with anyone else.

The business owner will always, out of self-interest, attempt to keep as much of the profits for herself as she can. And in their defense, why not? Their efforts in financing the automation, their foresight in making that investment created the ability to make more with less effort.

The one little problem with the idea that the business owner should keep as much of the profits as possible is that any money he pays his employees gets spent to buy the things those employees need to live or to increase their standard of living. That money goes out to other people and ends up coming back as people buying the goods or services of the original company.

The more you keep the less your potential customers have to spend with you.