Robot Socialism

With all the power you're releasing
It isn't safe to walk the city streets alone
Anticipation is running through me
Let's find the keys and turn the engine on
--Eddie Money

Since the Luddites, socialists have been drawn to the robot fallacy like moths to a flame. As demonstrated by Robert Reich here, belief that productivity-improving machines are driving permanent unemployment creates a platform for socialists to lobby for their favorite program: redistribution of wealth.

Among the many questions that Reich does not address is this one: If The Many are all unemployed and therefore incapable of purchasing goods and services from The Few who control the machines, then where is the wealth to be confiscated?

Stated differently, why would entrepreneurs purchase and install machines to produce goods for which there is no market? What investor would provide capital to fund such projects?