Questions that are rarely asked
Suppose we were back in the 1990s, and unemployment was 5.0%. But now suppose the economy was growing slowly due to slow growth in the working age population and slow growth in productivity. A “Pop Keynesian” says that we can solve this problem with fiscal stimulus. What do the smart 1990s Keynesians say in reply?
What do they say today?
That is from Scott Sumner. And in these articles you can read about “Japan” and “labor shortage,” two topics which fit well together these days.