another:... the Nobel laureate economist Robert Lucas, an expert on economic growth, put together a lecture on the economy because so many people asked him why the U.S. economy's post-recession growth rate was struggling around 2%.He noted that in the years after World War II, both the U.S. and Europe grew at an annual rate of about 3%. But in the mid-1970s, Western Europe dropped below that growth rate and stayed there, creating a 20% to 40% gap in income levels between Europe and the U.S. Prof. Lucas suggested this had to do with the cost of maintaining the social-welfare commitments Europe accumulated in the postwar years.He then looked at the levels of U.S. social-welfare commitments, including the new Obama health-care entitlement, and ended with a simple observation: "Is it possible that by imitating European policies on labor markets, welfare and taxes, the U.S. has chosen a new, lower GDP trend? If so, it may be that the weak recovery we have had so far is all the recovery we will get."..http://online.wsj.com/article/SB1000142405270230391690457737...
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra