[Problems of Poverty by John A. Hobson]@TWC D-Link book
Problems of Poverty

CHAPTER VI
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In fact, if the shorter day is accompanied by an absolute prohibition of over-time, it seems possible that work would thus be found for the whole army of "unemployed." Nor is this all.

The existence of a constant standing "pool" of unemployed was, as we saw, responsible for keeping the wages of low-skilled labour down to a bare subsistence wage.

Let this "pool" be once drained off, wages will rapidly rise, since the combined action of workers will no longer be able to be defeated by the eagerness of "outsiders" to take their work and wages.

Thus an eight hours day would at once solve the problem of the "work-less," and raise the wages of low-skilled labour.

The effect would be precisely the same as if the number of competitors for work were suddenly reduced.


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