Monday, November 2, 2015

The master debate on stagnation

Krugman and Summers, they revisit the idea of secular stagnation. 

History is clear on the subject, we get the secular stags every generation.  The stags cause quite a few wars and catastrophes. Every time we have a stag crisis we do a monetary regime change and the helicopter flies. 

So, are we stuck? One generation gangs up on the next? Any better idea?  How about tiny sec stags, more often, blow off steam a little at a time.  Government in smaller units, more attention to vote proportionality.

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