Arnold Kling a GMU economist has a theory of the business cycle he calls Recalculation. It says structural changes in the economy change the numbers of workers needed in different roles and that excess unemployment occurs while the transition gets sorted out. Whatever one thinks of this as a business cycle theory, Bryan Caplan, another libertarian economist at GMU, asks an interesting question. Say the libertarian dream was realized, tomorrow. How would the labor market change in the short run and in the post-Recalculation equilibrium?
Here is the link for Caplan’s thoughts: visualize_laiss.html
Harry “attempts to explain the mechanism merely enrage him” White