Tuesday, October 22, 2013
US Economic Policy Amid Stormy Seas
I have often spoken about how tectonic the first decade of the 21st century was. Not just the economic turmoil, but also game-changing innovation (e.g., from the iPhone and iPad, to Facebook and YouTube).
But it's also clear that the 2nd decade is shaping up to be more radical than the first. The political fray in the Middle East and Northern Africa has been breathtaking for its revolutionary change and at the same time heartbreaking for its scores of suffering and death.
Moreover it ought to embarrass US officials, up to President Barack Obama, that arguably the most powerful, sophisticated country in the world is grappling with a government shutdown. The seeds of this were apparent in 2011, with the Debt Ceiling Dispute raising policy uncertainty to an unprecedented level.
But what drops like a lead balloon is the fact that this current shutdown is on par with the Gulf Wars in adverse impact on economic policy. The uncertainty may be on the rise, yet.