Mackinac Policy Conference Update: CNN's Zakaria Says Feds Must Invest in the Future

Day one: CNN Political Analyst Fareed Zakaria

5/30/2012
Mackinac Policy Conference 2012By Kurt Brauer, Partner

Remember the early 1970s?  Our country struggled with stagflation, Vietnam and Watergate.  But a few years later, a major turnaround ensued.  History is full of this pattern of crisis and recovery, although nothing as profound as our current crisis, according to CNN's Fareed Zakaria.  Consider that we have:
 
  • A single global system with many countries experiencing unparalleled growth over the last decade
  • A generation of political and economic stability not seen in modern times
  • A rise in the Internet that has eliminated any government monopoly on information
  • Technological innovation that is forcing us to rethink how business is done globally

How will America handle the new globalization?  Zakaria notes that we historically had a six-month lag between the economy rebounding and jobs returning. Starting in the 1990s, that lag has grown to more than three years. Technology and globalization have slowed down job growth even while the economy rebounds. The federal government, which previously focused on investing for the future by funding education, research and infrastructure, has now turned to consumption by funding healthcare and Social Security.  Zakaria says  the federal government has become an "insurance company with an army," and challenges it to focus to the future.

He said that we need to focus on innovation, reduce our spending on public consumption and overcome the massive underfunding in education, research and infrastructure.  The United States is still the envy of the world when it comes to education, research and entrepreneurialism.

Other 2012 Mackinac Policy Conference Updates:
 


 
©2013 Warner Norcross & Judd LLP. All Rights Reserved

NOTICE. Although we would like to hear from you, we cannot represent you until we know that doing so will not create a conflict of interest. Also, we cannot treat unsolicited information as confidential. Accordingly, please do not send us any information about any matter that may involve you until you receive a written statement from us that we represent you.

By clicking the ‘ACCEPT’ button, you agree that we may review any information you transmit to us. You recognize that our review of your information, even if you submitted it in a good faith effort to retain us, and even if you consider it confidential, does not preclude us from representing another client directly adverse to you, even in a matter where that information could and will be used against you.

Please click the ‘ACCEPT’ button if you understand and accept the foregoing statement and wish to proceed.

ACCEPTCANCEL