Economy Quote by Louis O. Kelso
“Technology has no function except to save labor. Yet how often do we hear that the purpose of new capital formation is to create jobs?”
About This Quote
Source Book: Capitalism and Freedom, 1960
The purpose of technology is to reduce human labor, not necessarily to create employment; job creation is often a political narrative.
In simple terms: Technology should ease work, not just make new jobs.
Key Takeaway
Focus on productivity gains, not job counts.
Themes
economics
technology
labor
policy
Mood
analytical
critical
thoughtful
Type
economic
philosophical
policy
When to use this quote
- industrial automation
- policy debates
- business strategy
- workplace redesign
Key Concepts
capital formation
productivity
employment theory
Questions to Reflect On
- How can societies balance efficiency with employment?
- What policies protect workers when tech reduces jobs?
A Different Perspective
Assumes all labor can be replaced without social cost.
![“The creation of new capital always... releases... labor. Its actual effect [though] is not to make jobs scarce, but to free men's labor for other jobs.” quote by Frederic Bastiat](https://sms4smile.com/quotes/img-quotes/de1/frederic-bastiat-2151_creation_the-creation-of-new-capital-always-relea_1614697.jpg)
