RE: The long and short of it

[Karen Watters Cole]

Arthur, are you saying that academic and professional economists who go into politics are unafraid of lobotomies and/or the discovery that not all things are possible?  Isn’t that a street definition for idealists?  I hope the species isn’t endangered.  (smiling) Karen By the way, what IS a FWer?   The article notes the problem as: The problem after the late-90's boom and subsequent collapse is that there aren't nearly enough buyers for all the goods and services the economy can produce. Businesses have cut their capital spending because corporate profits have fallen. And with disappearing profits, businesses can't give their employees pay increases and benefit packages. Instead, they have to cut wages and health-care benefits. And they aren't in any position to add more jobs. Such businesses also don't buy more components and equipment and they don't rent more space. They stop investing. Eventually profits of their suppliers begin to disappear, too, as do suppliers' payrolls. (AC) And Reich offers a conventional solution.  OK.  An industrial age solution to an industrial age economy.  An article that could have been written in the 50's, 60's etc.  Nothing new. I think that Reich could do better.  He is not "living up to his potential"  His article says nothing about the "new" economy.  About what happens when an economy moves from producing tangible goods to intangibles, etc. etc. etc.  (AC) Will add one more thing.  I heard Reich speak before he was in government.  Sounded like he knew what was going on in the economy.  Could have been an FWer.  Maybe being in government demonstrates to the individual all the things that can't be done.   Kind of like an intellectual lobotomy.