The true productivity benefit from going into business for yourself is not that you can put in more effort. The human capacity for productive work is not that flexible, because we are not machines. The real multiplier is that you can direct your effort at that which truly matters. Most businesses spend 10% of their budget on 90% of their value. If you can work smarter you can get dramatically more done because you are building that which truly matters. That is where the PG article is right.
But, here's the problem with what I'm saying: people working crazy hours succeed. Everyone can see that. How can that be explained? In my opinion, those people succeed despite those hours, not because of them. It is their laser-like focus on reaching a goal that makes them succeed, but it is also this focus which makes them put in more hours thinking it brings success home sooner. It don't think it does, but it's almost impossible to prove it doesn't because there just aren't many places where highly passionate and focused people stick religiously to a 40 hour work schedule.