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The most dangerous wrong ideas in public policy are the ones that sound so intuitively true that any attempt to push back or even nuance them can be sneeringly dismissed as academic foolishness that flies in the face of 'common sense'. I... may have written a book about this. 👀

Jonathan Portes@jdportes.bsky.social

I can excuse @iaindale.bsky.social's ignorance here. Just because anyone with a very basic economics education should recognise the lump of labour fallacy doesn't mean he should. But the arrogance combined with the absolutely deliberate refusal to think is quite remarkable.

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The populist right over here and in the US (especially the current US administration and their MAGA-loon cult-like cheerleaders) have kinda become almost an accidental free promotional tool for your book really, haven't they.

And how does it supress wages when min wage there and something his party and reform would love to remove and pay low wages like in the US

Whilst we're on the subject of supply and demand debunking, why didn't corporate landlords go bust in the aftermath of the COVID lockdowns? They'd sooner (and were able to) eat years of losses, rather than lower rents.

Indeed. A related/popular idea that all deflation = bad is doing a lot of damage today. Even as voters tell us it’s EXACTLY what they want.

The frustrating thing about discourse is that the UK is actually world leading in a number of “sitting in offices tip tapping” industries but yet the entire commentariat and political establishment basically hates everyone in those industries.

I really don’t get how so many people simultaneously believe immigrants only contribute to demand and not supply when it comes to driving up housing prices, and only to supply and not demand when it comes to taking away our jobs. It’s almost like there’s some motivated reasoning going on here.

Which Jonny foreigner came and took Ian Dales chunky six figure salaries from him? None. How many Jonny foreigners did Ian Dale hire to do his building work/maintenance/car washing/odd jobs etc during the period he mentions? More than he’d realise or admit I’d wager. Weapons grade hypocrisy.

Interesting. But people's real world experience needs to be seen. High skilled manual labour experienced high immigration in the 2000s - that did suppress wage rates of workers in those areas. Use of economic concepts incorrectly applied to deny real world experience damages reputation of experts.

The use of the "lump of labour" fallacy requires nuance, not to be used as a complete denial of the impacts of changes in labour market conditions for individuals or individual sectors.

But you are ignoring the impact on individuals & groups who experienced wage suppression as a result of immigration, especially in the 2000's. It was substantial for many at that time. When they hear experts deny their life experience they become prey for those who want to weaponise that experience.