Technology can lead to workers being displaced in one particular industry, but this doesn’t hold for the economy as a whole. In Krugman’s celebrated example, imagine there are two goods, sausages and bread rolls, which are then combined one for one to make hot dogs. 120 million workers are divided equally between the two industries: 60 million producing sausages, the other 60 million producing rolls, and both taking two days to produce one unit of output. Now suppose technology doubles productivity in bakeries. Fewer workers are required to make rolls, but this increased productivity will mean that consumers get 33% more hot dogs. Eventually the economy has 40 million workers making rolls, and 80 million making sausages. In the interim, the transition might lead to unemployment, particularly if skills are very specific to the baking industry. But in the long run, a change in relative productivity reallocates rather than destroys employment, even if the distributional impacts of that reallocation can be complicated and significant.