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Henry Ford did not price his automobiles so workers could afford them, he paid his workers so they could afford automobiles.

The reason he could do this was because of the productivity gains incurred by assembly line techniques. Incidentally, the assembly line techniques also reduced the prices of automobiles to the point where an overpaid worker could afford them.

Possibly the most overlooked aspect of what Ford did is the standardization of the 40 hour work week so that his employees would have the free time necessary to make an automobile make sense.



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