Jul 27, 2017 · 1 min read
Here’s my theory.
The nature of labour seems to be shifting. Historically, low productivity worker still resulted in net useful output. A factory’s total output is additive w.r.t to workers, with not much interference between workers. In modern work, output is more multiplicative. If I build a good framework, everyone’s productive gets a boost. Conversely, a bad framework is a drag for everyone.
Since a corporation can now scale without massive hiring, they begin to focus on hiring fewer, but more effective, workers. The best talent are receiving out-sized rewards, but this isn’t enough to offset the wage stagnation of the general population.
