Post by Swampy on Oct 21, 2012 22:09:13 GMT -5
My first degree was in economics, so I know a lot about what the Economist is saying in its special report, but, in this century, there is also a lot I - and professional economists - don't know.
That said, there is rising inequality in the developed countries, but this is also counter-balanced by the rising incomes in the developing countries, where, for the first time in human history, hundreds of millions can now live their lives free of hunger.
The magazine doesn't give any new prescriptions for curing inequality, other than to attack vested interests and increase social spending. It also doesn't deal with the big problem - how to deal with an ever-increasing global labor market, which will continue to depress wages as billions more workers offer their services.
And that will be the problem for the next two decades - how to provide good jobs and good pay for all these people. There's lots of money to do it, but people don't know how to invest it, and, quite honestly, I don't see any government being able to put a policy in place that would allow more productive investment.
That said, there is rising inequality in the developed countries, but this is also counter-balanced by the rising incomes in the developing countries, where, for the first time in human history, hundreds of millions can now live their lives free of hunger.
The magazine doesn't give any new prescriptions for curing inequality, other than to attack vested interests and increase social spending. It also doesn't deal with the big problem - how to deal with an ever-increasing global labor market, which will continue to depress wages as billions more workers offer their services.
And that will be the problem for the next two decades - how to provide good jobs and good pay for all these people. There's lots of money to do it, but people don't know how to invest it, and, quite honestly, I don't see any government being able to put a policy in place that would allow more productive investment.
