The article you posted, what is it about?
<<<<
The article you posted, what is it about?
>>>>
It's about rising productivity.
Lets see if I get your point by going back to my illustration.
Company X has 1000 workers with an average wage of $20/hr.
Because of increase in productivity ( say, new software and computers, outsourcing, etc. ), they now need only 900 workers ( as an example ) to do the same work 1000 people once did.
Hence, they can increase the wages of 900 people because they laid off 100 people.
1000 people at $20/hr costs $20,000/hr
900 people at $22/hr costs only $19,800/hr
Savings of $200/hr due to productivity
In this sense, they do not really have to increase the price of goods/services because COSTS remain the same or less ( they do the same work with less people ).
Is this the point you are driving at ?
The question then becomes --- what happens to the 100 who are now out of work ?
No wonder there isn't much optimism among working people ( especially the older ones ) inspite the growth of productivity.