On 2012-11-21, at 8:14 AM, Michael Nuwer wrote:

> ...Krugman seems to imply that a return to higher taxes and 
> higher wages would be compatible with a return to economic prosperity. 
> He is generally unwilling to explore the argument that prosperity in 
> 1950s and 1960s owes itself to the hegemonic power of the United States, 
> and so made higher taxes and higher wages possible. I'm not sure that 
> that possibility exists today, which leaves Krugman's argument a bit 
> hollow.

Much hope and capital has been invested in shale oil and gas, seen as the new 
technological advance which will revive US manufacturing and restore its 
economic hegemony. Others, not only on the left, are skeptical it will have 
much impact other than an adverse environmental one.

http://www.nytimes.com/2012/11/13/business/energy-environment/report-sees-us-as-top-oil-producer-in-5-years.html?_r=0&adxnnl=1&partner=rss&emc=rss&adxnnlx=1353538840-Nj2tiMzcRgRzsOnH7kGnpw

http://www.guardian.co.uk/environment/2012/nov/15/shale-gas-freedom-security-trap?intcmp=239

http://online.wsj.com/article/SB10000872396390444549204578020602281237088.html?mod=rss_markets_main

http://www.nakedcapitalism.com/2012/11/shale-gas-will-be-the-next-bubble-to-pop.html


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