If the labor supply increases, new enterprises will be able to hire and grow. This will shrink the labor supply and increase the price of labor.

The only time there are massive shifts are when some sizeable factor creates a disruption. Sometimes that’s technology advancement.

Other times it’s a policy change due to government intervention. The area where I live used to be the textile capital of the world until a policy change shifted all of it overseas and gutted the entire area.

And now that same area is thriving after years of being destitute. Old mills converted to fancy apartments. Old train tracks used to ship product converted to bike trails. Thriving tech community.

It ebbs and flows. But nobody making centralized decisions would have made the choices that led to it.