Jason Furman | Can economic policy solve economic problems?
The challenge we face consists in the disconnect between the economic aspirations of the discontented and the policy tools we have at our disposal to meet them, says Jason Furman
The past year has witnessed several attacks, including a few near misses, on the rules-based global order that has undergirded prosperity in the world’s advanced economies and the rapid growth of many emerging economies. A lively debate has ensued about whether the fundamental cause of such populist attacks is economic or cultural. I suspect the answer is a bit of both, especially because cultural explanations raise the question of why now, whereas economic explanations provide a ready answer: the significant slowdown of income growth.