God help us all if our central bank starts taking cues from the Bank of Japan or the ECB and their zombie economies.
Our inability to suffer short-term consequences for long-term prosperity is a real issue that we as a country need to figure out how to solve. (Can you solve for human nature?) The fed shouldn't have made cuts in 2019 at the height of the market, we should have let failing banks fail, we need to start spending responsibly if we want to remain a reserve currency, and we need to learn that forest fires clear out the undergrowth for new growth.
I think a good start would be if average people were confident that they would take part in the long-term prosperity. Right now, that doesn't seem like such a good bet.
Yes, but God has been helping us all already and it has been going on for decades, through QE and interest rates and bailouts, and a lot of top economists seem to be set on milking this as long as they can and keeping the cow on life support and drugs for a very very long time. And why shouldn't they? Nobody knows how long we can keep the cow alive, there is no real precedent. It can go belly up tomorrow or in 50 years. It works really well right up until the point where it doesn't at all anymore.
You can solve for human nature. 3200 years ago we were all in a Prisoners Dilemma stuck at backstab backstab (literally killing each other). And then Moses came down from Mt Sinai and said Thou Shalt Not Kill, and lo, the solution to the dilemma was coordinated by shared principles. I think the solution to today-era social problems will probably look something like that.
Our inability to suffer short-term consequences for long-term prosperity is a real issue that we as a country need to figure out how to solve. (Can you solve for human nature?) The fed shouldn't have made cuts in 2019 at the height of the market, we should have let failing banks fail, we need to start spending responsibly if we want to remain a reserve currency, and we need to learn that forest fires clear out the undergrowth for new growth.