Paul Krugman

I mean, we did have a big labor market disruption as we came out of COVID because the mix of stuff that people wanted to buy was very different.

And we had a period when we had a really high ratio of

unfilled job openings to people looking for jobs, which was transitional and probably, you know, and the Fed raised interest rates in part because that seemed to be kind of inflationary.

But that problem has kind of solved itself for the time being.

Now, if AI could produce another

Similar disruption, though unlikely to go as quickly.

But I don't think, you know, the Fed has got one dial to turn.

Central banks, you know, the overnight interest rate.

And there's only so many problems you can solve with only one dial.

Well, this is right up my alley.

I mean, so half the Swedish thing he was for work on exactly this kind of issue.

To a first approximation, the answer is we can't do that.

I mean, we

There have been major efforts in some places to really support lagging regions.

When technological changes is wanting to pull stuff into the already rich parts, what can you do to promote development in the lagging parts?

And so Italy has poured vast sums into the Mesa Journal, which mean that people have enough to eat, people have health care, but has never really

cotton business to go back there.

Germany, the former East Germany, you know, Germany has pretty generous benefits and all of that, and nobody is suffering materially very much in former East Germany, but they also haven't

But the industry hasn't come back, and it's a lot of money.

So basically, you have policy failures.