(Guest Post by Matthew Ladner)
Must read article by Adam Davidson in the New York Times Magazine on America’s prospects for growth. Easily the most important debate in economics today imo- the inequality debate being a symptom of a slow growth disease. The article doesn’t mention societal aging but easily could have, as it is widely acknowledged by economists as serving as a headwind to growth.
In the end however I fully agree with Davidson’s conclusion about technology (3d printing for instance is clearly in the early stages of moving out of the hobbyist phase in my mind) and his ultimate conclusion:
If we are indeed doomed to a generation of slow growth, it’s a lapse in our collective imagination, not in technological innovation, that is holding us back.
I would add only this proviso- improving the productivity of the public sector will be key to a better future. You can’t for instance get much further away from constantly improving productivity than this:
Is it even possible to increase the productivity of education spending? Arizona says hello! but buckle up because the politics are rough.