Innovation as the Fix for Low Inflation, Productivity

The video discusses the challenges of slow economic growth and the lack of animal spirit affecting profits globally. It highlights the impact of low or negative inflation on financial institutions and the difficulty in adapting to this new economic climate. The discussion also covers the stagnation in productivity despite employment growth, emphasizing the need for technological innovations like AI and driverless cars to drive future productivity. The role of central banks in this economic cycle is debated, with a focus on their inflation targets. Lastly, the video examines the trend of mergers and acquisitions, noting that they often benefit management rather than shareholders.

What are the implications of low inflation or negative inflation on economic growth?

How do financial institutions adapt to a zero-inflation environment?

What factors contribute to the stagnation of productivity in the American economy?

In what ways might technological advancements impact future economic growth?

What role do mergers and acquisitions play in the current economic landscape?