How do you spell stagflation?

http://www.epi.org/briefingpapers/214/bp214.pdf (PDF)

I guess it's too bad Bush hasn't had a war to save his economic legacy, like Roosevelt did.

Which reminds me: For those crowing about Bush's alleged successes, when the wars are on the books, call me.

 

We all know the newspaper business model is broken. Advertising revenue doesn't support the profit margins owners borrowed tons to get their hands on.
The U.S. business model is broken. The prosperity of 1945-1970 was based on the facts all the other economies in the world got blown up during World War II, making us the manufacturer, banker, candlestick maker, etc. of the world. The economy had ups and downs (see the 50s) but we had no competition.
Bit by bit, that's gone away. And we've run out of tricks to keep incomes growing. First, married couple both went to work. Then debt got real cheap. Then we had a couple of asset-financed bubbles. All the while, for a wide variety of reasons, more and more of the U.S. pie went to the very very few at the top.
There's no tricks to the future. We are going to have a PERMANENTLY lower standard of living. The world just can't grow fast enough to keep us rich and give our competitors (China, India, etc.) the share they're earning. The only real question is, how will the lowering be distributed? That's a political and not economic question.

 

I think that is really well said.