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    Sep 7, 2013, 07:06 AM
    Help Identifying fallacies
    There's another fallacy going around, that hard times should lead us to work longer and more intensively.
    On the face of it, the work intensification approach makes sense. The [current economic] downturn has reduced incomes and growth. For the individual, trying to work more is sensible. For a nation experiencing relative decline, putting its nose to the grindstone makes intuitive sense.

    But acting this way en masse risks triggering forces that operate in the other direction. Right
    Now we're experiencing glutted labour markets in OECD countries. The effective global labour supply has about doubled, from 1.46 to 2.93 billion. If people offer more hours to the market, wages fall and unemployment rises. Excess supply of labour also undermines investment and innovation, which accelerate when labour is scarce relative to capital. Similarly, responding to shortfalls in pension programs by asking people to stay in the labour force more years further dis-equilibrates the market by creating more demand for a limited number of jobs.

    End

    If anyone can help me identify the fallacies in these paragraphs. That would be an absolute life saver. This is driving me nuts

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