REALITYBASE

This Financial Times piece by Larry Summers makes the points that the global economic situation he helped create is a huge mess, that the US is in a strategic bind vis-à-vis oil producing nations (I posted about that here), that other nations such as China and Russia are subordinating the economic well-being of their citizens to geopolitical considerations, that key US and world economic policies are unsustainable, and that the consequences of not sustaining them are pretty much unthinkable. Thanks to Mark Thoma for bringing this to my attention. I consider it quite good news that the Rubinistas are acknowledging the problem and, presumably, thinking about it and getting more flexible about policy directions.