Massachusetts Institute of Technology
Sign in Create Account

Faculty Forum Online: U.S. Economy—The Real Solution is Growth

In the U.S., recent headlines have focused on such issues as the debt ceiling, the recent credit rating downgrade, and unemployment. But consider this: increasing the average growth rate in the U.S. by one percentage point over the next 20 years would not only result in much higher incomes and more jobs but would also obviate the need for drastic spending cuts today to reign in the government deficit.

With a 2% increase per year, average incomes, and to a first approximation government tax revenues, would be 49% higher in 20 years than they are today; with a 3% increase per year, they would be 81% higher. The underlying message? We should not take our eye off the really important ball: economic growth and the innovation process that underpins it.

Economics Professor Daron Acemoglu (read his bio following the link below), offered his thoughts and answered questions submitted by the worldwide MIT alumni community on October 26, 2011. Watch the video then join the discussion online.

Comments (0)

It looks like no one has posted a comment yet. You can be the first!

You need to log in, in order to post comments. If you don’t have an account yet, sign up now!

MIT Alumni Association

MIT Alumni Association

Category: Education | Updated 18 days ago

Created
October 27, 2011 16:30
Category
Tags
License
All Rights Reserved (What is this?)
Additional Files


Viewed
7523 times

More from MIT Alumni Association

Persuasive Communication Workshop: Unpacking Logic

Persuasive Communication Workshop: ...

Added over 7 years ago | 00:05:08 | 27545 views

IAP Externship Program Orientation

IAP Externship Program Orientation

Added over 2 years ago | 00:13:27 | 1714 views

MIT McCormick Hall 50th Anniversary

MIT McCormick Hall 50th Anniversary

Added over 1 year ago | 00:09:47 | 1816 views

Vladimir Bulovic on OLED Displays

Vladimir Bulovic on OLED Displays

Added 6 years ago | 00:03:08 | 292179 views

Faculty/Student Presentations from the Department of Civil & Environmental Engineering

Faculty/Student Presentations from ...

Added over 7 years ago | 00:55:35 | 26400 views

Persuasive Communication Workshop: Moving Between Metaphors

Persuasive Communication Workshop: ...

Added over 7 years ago | 00:04:44 | 23168 views