I don't think it's that bad but you are right. One big problem with capitalism and the free market is that people are really overdoing it with efficiency and optimization.

I once read an article with the thought experiment about what we should do if the productivity in everything we do doubled. We would have twice as much table salt. So what do we do? Well there are two options. Keep the table salt just in case. Downsize production immediately and use the spare capacity on something else.

The funny part in economics is that most of the time the "something else" is unemployment and so many economists believe that this is a good thing. Fans of the gold standard will talk about how you are supposed to suffer through the bust while forgetting that gold mining picks up and saved the day so many times even though it is wholly unproductive.