AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |
Back to Blog
Duolingo spanish audio lessons10/14/2023 ![]() ![]() Democratic processes often get captured by special interests or paralyzed by polarization. In the face of numerous challenges - from climate change, to housing shortages, to pandemics - our institutions struggle to act quickly and decisively. Help support Planet Money by subscribing to Planet Money+ in Apple Podcasts or at /planetmoney.Īmerica today faces a crisis of governance. Who's right? The future of the global economy could depend on the answer. He doesn't see the deep forces that led to a long-run decline in interest rates as just vanishing. ![]() Olivier, meanwhile, believes we're just going through a minor blip and will return to a period of low interest rates within the near future. Earlier this year, Larry announced that he was no longer on the secular stagnation train. As inflation has spiked worldwide, interest rates have followed suit. They helped reshape many people's understanding of the economy, and suggested that this period of slow growth and low interest rates was here to stay for a long time.īut today, Larry and Olivier are no longer the duo they used to be. Larry and Olivier would go on to build a case for why secular stagnation was a defining theory of the economy and why government policies needed to respond to it. The theory resonated with Olivier Blanchard, another leading scholar, because he had made similar observations himself. In 2013, Larry Summers unearthed an old term from the Great Depression to explain why the economy was in this rut: secular stagnation. But before the pandemic, economies around the world were stuck in a different rut: low inflation, low interest rates, low growth. Inflation is high, and central banks are pushing up interest rates to fight it. ![]()
0 Comments
Read More
Leave a Reply. |