Paul Krugman: "Is Growth Over?"

Paul Krugman hits on something I've been talking about to real life people for years... growth is mainly going to the 1%, not the 99%. The economic changes, aka creative destruction, that has gone on since the 1980s, has been mostly destructive to the working class. Traditional economic theory says there's no such thing as a zero-sum game in economics. Well, the pattern over the last 30 years has been that it's a plus sum game for the Plutocracy... and a negative sum game for everyone else. Paul Krugman is catching on. But just as insightful are the comments that follow. Read past his article to see comments by John Hamilton, Rolland Norman, scpa, Fred, Val Szymanski, CT, Fred Hornan, and definitely do NOT miss the comment by Deathbyinches.

Is Growth Over?

The great bulk of the economic commentary you read in the papers is focused on the short run: the effects of the “fiscal cliff” on U.S. recovery, the stresses on the euro, Japan’s latest attempt to break out of deflation. This focus is understandable, since one global depression can ruin your whole day. But our current travails will eventually end. What do we know about the prospects for long-run prosperity?

The answer is: less than we think.