Reforms aimed at increasing an economy’s flexibility are always hard – and even more so at a time of weak growth – because they require eliminating protections for vested interests in the short term for the sake of greater long-term prosperity. Michael Spence Read Quote
On their own, tariff and trade barriers, if viewed as transitory negotiating tactics, will not significantly change global investment patterns or the structure of global supply chains and employment. Michael Spence Read Quote
Whatever advantage Trump thinks he will gain by positioning the U.S. in opposition to its natural allies will be dwarfed by the losses. Michael Spence Read Quote
Actions aimed at supporting deleveraging and balance-sheet repair – such as recognizing losses, writing down assets, and recapitalizing banks – carry longer-term benefits but short-term costs. Michael Spence Read Quote
In economies with excess productive capacity, targeted investment can yield a double benefit, generating short-run demand and boosting growth and productivity thereafter. Michael Spence Read Quote
China’s continued growth and rising household income are creating opportunities for lower-income economies in low-cost manufacturing. Michael Spence Read Quote
Developing economies may not have much control over the headwinds that they face today, but that does not mean that they are powerless. Much can be done not just to sustain moderate growth but also to secure a more prosperous and resilient future. Michael Spence Read Quote
A global economy that is levering up, while unable to generate enough aggregate demand to achieve potential growth, is on a risky path. Michael Spence Read Quote
There is no question that the recovery from the global recession triggered by the 2008 financial crisis has been unusually lengthy and anemic. Michael Spence Read Quote
