Come to think of it, why don't I just recycle the op-ed piece I wrote this
week for Straight Goods "Canada's independent - reader-supported - on-line
source of news you can use http://www.straightgoods.com. . .":

Remembrance of Work Time Standards Lost

Twenty-five years ago, two-thirds of the Canadian work force worked a
standard 35 to 40 hour a week. And they received a full-time pay cheque with
holiday and vacation pay for doing so.

By 1995, the proportion of the work-force working standard hours had
declined to a bare majority. Many of the rest of us have migrated to
part-time jobs with substandard pay and benefits or to long hours of work
often without compensation for overtime.

About a third of the people working part-time say they would rather have a
full-time job but can't find one and many of the people working long hours
would gladly forgo income for more time off. So what happens when unions or
social activists suggest that perhaps we could solve both dilemmas and
reduce unemployment in the bargain by redistributing the hours of work --
perhaps even try something like the 35-hour work week brought in recently by
the French government?

What happens is we're scolded by financial commentators and think-tank
experts like Michael Walker of the Fraser Institute that to even consider
such a thing is proof of "economic ignorance". According to National Post
columnist Peter Foster, for example, the French 35-hour policy is based on a
"fundamental economic misunderstanding known as the 'lump-of-labor fallacy'."

What the heck is a "lump of labor" and why did I spend the last two years
studying and writing about it? The simple answer is that the lump of labor
is a "theory" that isn't a theory; it is an "economic fallacy" that is not
an economic fallacy. 

Like the chemically-aged skull of a modern man and jawbone of an orangutan
dug up at Piltdown, England in 1911, the lump-of-labor fallacy is a
scientific hoax. Unlike the counterfeit missing link, however, the
lump-of-labor fallacy may be making our work lives miserable -- eroding our
job security, piling up our workload, gobbling our pay cheques and spoiling
our weekends.

You don't need to know exactly what the lump-of-labor fallacy is or says.
It's a relic of sheer nonsense that has been reverently handed down from
generation to generation of mainstream economists. If you insist on learning
the details, you can read my chapter debunking the lump-of-labor claim in a
recent scholarly volume on working time.

What you DO need to know is that mainstream economists have completely blown
the issue of working time. There once was an economic theory of the hours of
labor, a very good theory indeed presented by Sir Sydney Chapman -- an
esteemed and excruciatingly orthodox Cambridge economist -- in Winnipeg in 1909.

Economics, as it is taught at universities, has managed to "lose" its own
theory, though. It's in the library, but few economists bother to look for
it there. Instead they look in their textbooks, where the theory isn't.

During the 1950s and 1960s the most widely-used introductory textbook in
first year economics courses across North America was a book affectionately
known as "Samuelson". Its official title was Economics: An Introduction by
Paul Samuelson. 

Edition after revised edition of that ubiquitous textbook carried a breezy
discussion of why union demands or policy proposals for shorter hours of
work -- though admittedly well-intentioned -- are hare-brained panaceas not
worth considering seriously. Why? Because they are based on the venerable
lump-of-labor fallacy.

The claim makes about as much sense as saying that caring about nutrition is
based on a lump-of-food fallacy or that personal hygiene is based on a
lump-of-soap fallacy. That hasn't prevented financial page editorialists and
business lobbyists from banging the fallacy gong any time a shorter work
time proposal makes it onto the agenda of public debate. I first read the
phrase in a column written by Jock Finlayson, vice president for research of
the B.C. Business Council, who invoked it several times in the mid-1990s to
ward off the grim spectre of Jeremy Rifkin's The End of Work.

The bottom line is North America is choking from overwork, underemployment
and just plain misallocation of working time. Governments are loath to do
anything about it, because they're afraid that if they do, corporate
lobbyists and financial page editorialists will humiliate them with mocking
cries of "fallacy" and "panacea". 

As I mentioned earlier, you don't need to know what the lump-of-labor
fallacy is. All you need to know is that something is profoundly wrong with
the way that the hours of work are being regulated  -- subtly and
unofficially being de-regulated, really -- in North America and that the
arguments against doing something about it are utterly groundless. 

Isn't it about time we called the bluff of the textbook-thumping experts who
seem to think that a toxic cocktail of overwork and underemployment is "good
for the economy"? Isn't it about time we buried the bogus lump-of-labor
fallacy alongside the remains of that other scientific hoax, the Piltdown Man?

------------------

Tom Walker is a social policy analyst and advocate of shorter working
time. His chapter on "The 'lump-of-labor' case against work-sharing" is in
_Working Time: International trends, theory and policy perspectives_
edited by Lonnie Golden and Deborah Figart, published by Routledge.
Tom Walker
Bowen Island, BC
604 947 2213

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