Things are grim if we need bubbles to create full employment
The global economy is facing the risk of being locked into 'secular stagnation' with recovery remaining constrained.
Larry Summers and Paul Krugman are two of the most influential American economists. Krugman is a Nobel laureate, while Summers has held top economic posts in the public sector, academe and the financial sector.
He was reportedly favoured by President Obama to be the next chairman of the US Federal Reserve. Political pressure, mainly from the president's own Democratic Party, saw Summers withdraw from consideration. It's safe to assume he continues to be an intellectual contributor to Obama's administration.
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