Social Security Solved? When did Professor Gordon Change His Mind on Productivity?
Slate is reporting that my old prof, Robert Gordon at Northwestern is putting out a paper that suggests productivity growth and immigration will solve the social security crisis. What is interesting for me is that Prof. Gordon is suggesting that productivity will settle down at 2.5% annual growth. Why is this interesting? Because practically every other class, the guy went off on how the productivity improvements of the 1990s, whose continued high level increases his plan is based on, were a mirage. I wonder when he changed his mind.....