Secular Stagnation: A Working Pair of Scissors Needs Two Blades
There is a core divergence among some “Keynesian” and “Schumpeterian” economists who have proposed such stagnation hypotheses; each camp points to different underlying factors for continued anemic levels of growth. “Keynesians” argue from the demand side, and believe that proactive fiscal policies are needed for a strong recovery, while “Schumpeterians” believe that the necessary force of creative destruction has continually been stymied by such policies.