Yes, it's a classic false dichotomy. The options are not (monopoly, competition). A "the neverending competition that cannot be won" is best avoided--there is nothing redeemable about this "pure antithesis" to monoploy to make it more desirable.

...though if the labor market is at all free that should self-correct pretty quickly. Unfortunately we tend to tie things like retirement and health care directly to employment, totally distorting that market.

You (Americans) do... we (Europeans) don't, generally.