American Economic Review
ISSN 0002-8282 (Print) | ISSN 1944-7981 (Online)
How to Restore Equitable and Sustainable Economic Growth in the United States
American Economic Review
vol. 106,
no. 5, May 2016
(pp. 43–47)
Abstract
Today's weakness in the US economy results from lack of aggregate demand, due to high and growing inequality, underinvestment in public infrastructure and technology that is complementary to private capital, continuing mild austerity, difficulties encountered in making the structural transformation from manufacturing to a service-based economy, and a financial sector failing to provide adequate funds to SMEs. An agenda to restore growth includes a carbon price, inducing climate investments; increased public investments in infrastructure and technology; fighting inequality through redistribution and rewriting the rules structuring the economy; and reforming the financial sector and the global reserve system.Citation
Stiglitz, Joseph E. 2016. "How to Restore Equitable and Sustainable Economic Growth in the United States." American Economic Review, 106 (5): 43–47. DOI: 10.1257/aer.p20161006Additional Materials
JEL Classification
- E23 Macroeconomics: Production
- E32 Business Fluctuations; Cycles
- E44 Financial Markets and the Macroeconomy
- E61 Policy Objectives; Policy Designs and Consistency; Policy Coordination
- E62 Fiscal Policy
- H50 National Government Expenditures and Related Policies: General