Okay well he doesn’t say it quite so succinctly. Or categorically. In fact he hedges his statement several ways from Sunday, and uses a hundred-and-twenty-three-word paragraph to do so: The near-consensus view over here at Equitable Growth and at the Equitablog is that U.S. economic growth over the past generation has been very disappointing. Too-much of our economic growth […]

Obama argues that government action is required to redress the growing disparity between rich and poor, diminished opportunities for upward mobility and economic stagnation. Public opinion, at least according to the Stimson analysis, is moving in precisely the opposite direction. A 2011 Pew Research Center survey gives us a glimpse of some of the headwinds […]

Here, emphasis mine: It must affect your thinking somehow that they really believe in markets. I think that maybe he has a cognitive dissonance. His research shows that markets are not efficient. So what do you do if you are living in the University of Chicago? It’s like being a Catholic priest and then discovering […]

In a post titled Potential Misunderstandings, Paul Krugman makes a really good point about potential GDP… many people do not understand what it is. He is absolutely right to say that it is a supply-side concept. Yet, in order to know where your potential output is, one must consider demand potential. I use effective demand […]

Below the fold is information on the job creators.

by Dale Coberly FLYING SAUCERS, THE YOUNG, and SOCIAL SECURITY What if the Social Security Trust Fund WAS Worthless IOU’s George Bush liked to tell us “the young” were more likely to believe in flying saucers than they were to believe they would ever see any benefits from Social Security. First, let me assure you […]

We hear economists calling for higher inflation to lower the burden of debt on borrowers. Yet, we hear them complain about slow real GDP growth too. (secular stagnation) Can we have our cake and eat it too? Can we get real GDP growth alongside inflation? Real GDP rose by 3.6% on an annual basis for […]

Paul Krugman is honest in his search to explain secular stagnation, but he is missing a crucial piece to the puzzle. And thus he comes to an incomplete conclusion. But then we see that Noah Smith is bringing the missing piece to the table. (update: Noah Smith cites the work of Michael Elsby, University of […]

Sadly, not in the real world. But in the econoblogosphere. Much of that is arguably thanks to the newly launched Washington Center for Equitable Growth. Traveling and family time, so I can’t do a big writeup, so just a few somewhat randomly chosen links: Brad Plumer: Is inequality bad for economic growth? Jared Bernstein: The Impact of Inequality […]

I have a student in Argentina that sent me a message today. He says that it has become extremely difficult to take money out of the banks, even $100 USD. It is considered capital flight with legal difficulties. He says that $2 billion USD are leaving Argentina daily. The Argentine peso has been falling but […]