Global Slowdown May Be Technological Shock, Says Posen

The video discusses the concept of secular stagnation, originally formulated by Alvin Hansen, and its relevance as a macroeconomic challenge today. It explores the debate between Lawrence Summers' demand-side perspective and the supply-side view of technological stagnation. The discussion highlights the nuances and criticisms of these theories, emphasizing the potential impact of technological shocks on economic growth.

What is the key challenge associated with secular stagnation?

• Achieving growth through increased labor force

• Achieving growth through technological advancements

• Achieving growth through sustainable conditions

• Achieving growth through unsustainable financial conditions

What is a major point of debate between Lawrence Summers and other economists?

• The role of government in economic growth

• The impact of globalization on economies

• The influence of monetary policy on inflation

• The distinction between demand-side and supply-side theories

Which theory suggests that technological advancements are ending?

• Gordon Solo exogenous technological theory

• Summers' secular stagnation theory

• Classical economic theory

• Keynesian economic theory

What is one implication of the simultaneous economic slowdown across rich countries?

• It indicates a demand-side issue

• It shows the success of monetary policies

• It highlights the importance of fiscal austerity

• It suggests a supply-side technological shock

What is a less hopeful perspective according to the Gordon view?

• Relying on demand-side solutions

• Waiting for the next technological breakthrough

• Implementing strict fiscal policies

• Increasing the labor force participation