And so, the need to make a living will still be a problem, yeah?
Mid-century liberalism focused on the concept of full employment, right? Over time, the cost of goods increased, yet there were waves of instability in the job market. People eventually lost jobs or were laid off as the nature of the economy changed - ie, more jobs went overseas, with lower labor costs. What happened to the people who lost those jobs due to the runaway factory effect?
All that's pretty well established history, I think we can agree. Nothing I said here is particularly controversial.
Note also that there were similar views of automation back when the US had a larger manufacturing base, but the reality was much messier and disruptive to people's lives.
I think it would be more helpful to look at the impact real world automation has had historically and then try and think through possible solutions to make the transition easier. I'm not sure if "overproducing" as individuals on it's own is going to solve the problem, though.
And I'm no fan of the 40+ week model, but I also realize that as long as corporations have a strangle hold on our economy, figuring out alternatives is going to be tricky and possibly bad for larger portions of the population.