The Economics “Duh.” of the day
Title: ‘Saving Capitalism No Sure Thing as Statism Undermines Economy’
Money Quotes:
“When Italy nationalized banks in 1933, “the architects who designed the system envisaged it as temporary,” she says. “It was in place until the end of the 1990s.” More recently, the Japanese government injected capital into banks to get them to lend to big corporations, keeping alive “the zombie companies that economists talk about,” she says.”
““We’re seeing a more statist world economy,” says Ken Rogoff, former chief economist at the International Monetary Fund and now a professor at Harvard University in Cambridge, Massachusetts. “That’s not good for growth in the longer run.””
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