>Now everybody else has a little extra money they didn't have to spend on web development, and they'll want to buy something with it, so you get new jobs making whatever it is they want to spend the money on instead.
Why assume a business that just boosted profits by reducing headcount would want to spend that surplus on hiring more workers elsewhere? Seems like it would mostly go towards stock buybacks and higher executive pay packages. There might be some leakage into new hiring, but I reckon the overall impact will be intensifying the funneling of money to the top and further hollowing out of the labor market.
Why assume a business that just boosted profits by reducing headcount would want to spend that surplus on hiring more workers elsewhere? Seems like it would mostly go towards stock buybacks and higher executive pay packages. There might be some leakage into new hiring, but I reckon the overall impact will be intensifying the funneling of money to the top and further hollowing out of the labor market.