Palley, Thomas I. - Fachbereich Wirtschaftswissenschaften, Hochschule für … - 2009
This paper traces the roots of the current financial crisis to a faulty U.S. macroeconomic paradigm. One flaw in this paradigm was the neo-liberal growth model adopted after 1980 that relied on debt and asset price inflation to drive demand in place of wage growth. A second flaw was the model of...