A Quote by Michael Spence

In economies with excess productive capacity, targeted investment can yield a double benefit, generating short-run demand and boosting growth and productivity thereafter.

Michael Spence

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Benefit Capacity Demand Double Economies Excess Generating Growth Investment Productive Productivity Run Short Targeted Yield

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Michael Spence
American - Economist
Born: November 7, 1943

Properly targeted public investment can do much to boost economic performance, generating aggregate demand quickly, fueling productivity growth by improving human capital, encouraging technological innovation, and spurring private-sector investment by increasing returns.

Michael Spence

My advice would be, as you consider fiscal policies, to keep in mind and look carefully at the impact those policies are likely to have on the economy's productive capacity, on productivity growth, and to the maximum extent possible, choose policies that would improve that long-run growth and productivity outlook.

Janet Yellen

Productivity gains are vital to long-term growth because they typically translate into higher incomes, in turn boosting demand. That process takes time, of course - especially if, say, the initial recipients of increased income already have a high savings rate.

Michael Spence

Productivity growth, however it occurs, has a disruptive side to it. In the short term, most things that contribute to productivity growth are very painful.

Janet Yellen

If there is genuine potential for growth, build capacity in advance of demand, as a strategy for creating demand. Hold the vision, especially as regards assessing key performance and evaluating whether capacity to meet potential demand is adequate.

Peter Senge

The financial crisis and the Great Recession left firms with excess capacity, reducing incentives to invest. If businesses expect slower growth to continue, that will also hold down investment.

Jerome Powell

In the long run, greater investment would mean greater productivity and income growth.

Bob Frank

A pickup in demand in many advanced economies and a stabilization in commodity prices should, in turn, boost the growth prospects of emerging market economies.

Janet Yellen

The 1,230 gigawatts (GW) of renewable power generating capacity in place at the end of 2009 now constitutes just over 25 percent of total generating capacity worldwide. This is over three times nuclear generating capacity and roughly 38 percent of the capacity of fossil fuel-burning power plants worldwide.

Christopher Flavin

Growth in productivity has diverged from growth in the share that working people can expect right across advanced economies, but this trend started earlier and has been more pronounced in the U.S.

Mariana Mazzucato

The challenge to our national economies and the collective economy of Europe will become - with the growth of China and the continuing productivity growth of the US - even more intense in the decades to come.

John Hutton

Globally, manufacturing jobs are on the decline, simply because productivity growth has outpaced growth in demand.

Joseph Stiglitz

We are committed to levelling up across every region and nation in the U.K. and that is why we are making the largest ever public investment into broadband. This investment delivers on our promises to the British people, boosting growth and prosperity across the country.

Rishi Sunak

Obviously, you can't operate a system at 100 percent capacity. You need room for growth. And because there are peak times, you need surge capacity. But it is easier to reduce and manage excess capacity in larger units than smaller, especially when you have a diversity of users who have different peak periods and different growth rates. That's why the utility model is intriguing.

Steven Pearlstein

The growth of a nation's productive potential is the central factor in determining its growth in real wages and living standards.... high rates of investment and saving usually have a big payoff in promoting economic growth.

Paul Samuelson

Unlike China's growth story, which has been built on the strategy of creating excess supply, the Indian growth story has been built on the strategy of responding to incentives generated by excess demand. Which is why a certain degree of inflation is built into the Indian growth process.

Sanjaya Baru

A Quote by Michael Spence

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