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S E50: A Conversation with Larry Summers: The Influence of Economic Ideas and the Dangers of Secular Stagnation

Think Like An Economist

CHAPTER

The Importance of Knowing When to Back Down

I think the medical analogy is helpful. A surgeon who is consumed with the moral responsibility of their craft to the point of being paralyzed, is not diing be a very good surgeon. I think it's like airplane safety. Every time there's a crash, we warn something about a way crash can happen, and we fix it. But we also develop bigger, faster airplanes, and that comes with some risks. And sometimes after a long period when things go well, people can become complaisant, and they can become sloppy. We put in place, after the two thousand and eight financial crisis, a variety of desirable steps in the so called dod frank legislation. But i think it would

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