A great many people in our society place higher value on their status than on realizing rational market moves. And to rub salt into the wound, many middle class can't afford a $200-500 dollar callout because their wages have been stagnant as well.
I'll say it again: the existence of Home Depot and other home improvement stores is evidence for wage stagnation.
> Plenty of humans can physically rearrange stuff
It might seem that way but I believe we presently have a building labour shortage. Anecdotally I don't know many master craftsmen, that species seems to be rarer today.
> white collar incumbent's ability to make it illegal to replace them
That is true but that's a problem with government.
There's a limit to how far that can go as well. I see a lot of young entrepreneurs undercutting legal and accounting online.