Greenspan: We're in a State of Stagnation

The transcript discusses the current economic situation, highlighting the lack of political action to address rising entitlements, which are affecting domestic savings and investment. This has led to low productivity and economic stagnation globally. The speaker expresses concern about the early signs of stagflation as inflation begins to rise while deflation fades.

What is the main economic issue identified by the speaker?

• High unemployment rates

• Lack of technological innovation

• Rapid rise in entitlements

• Trade deficits

How does the rise in entitlements affect the economy according to the speaker?

• It leads to higher exports

• It increases foreign investment

• It boosts consumer spending

• It crowds out domestic savings and investment

What has been the trend in productivity in major economies over the last five years?

• Unchanged

• Exceptionally low growth

• Moderate growth

• Significant growth

What economic condition is the speaker most concerned about?

• Recession

• Hyperinflation

• Stagflation

• Deflation

What does the speaker suggest is beginning to pick up as deflation concerns fade?

• Export levels

• Government spending

• Inflation

• Interest rates