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>> Remote work is bad for the economy. > I've seen this claim a few times now. Are we actually sure it's true? Or does it just shift long-term spending trends?
by seanhunter 4y ago
>> Remote work is bad for the economy.
> I've seen this claim a few times now. Are we actually sure it's true? Or does it just shift long-term spending trends?
Yes. This is a very good example of what is known in economics as the "broken window" fallacy. It's very easy to only account for the effects you measure and ignore what might otherwise have happened. [1]
"It is not seen that as our shopkeeper has spent six francs upon one thing, he cannot spend them upon another. It is not seen that if he had not had a window to replace, he would, perhaps, have replaced his old shoes, or added another book to his library. In short, he would have employed his six francs in some way, which this accident has prevented."
[1] https://en.wikisource.org/wiki/Essays_on_Political_Economy/That_Which_Is_Seen,_and_That_Which_Is_Not_Seen https://en.wikisource.org/wiki/Essays_on_Political_Economy/T...