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The best work seems to show that high-skill immigrants help the long run problem, but low-skill immigrants make the situation worse.
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Deficits are a long-run problem.
But the long-run problem of closing that $2.7 trillion pension gap remains.
"It could be a very large long-run problem," said Mickey Levy, chief economist at Bank of America.
But deficits are a long-run problem, and its enactment alone would increase creditors' confidence that we are committed to solving it.
They would then explain that solving that long-run problem requires two main things: reining in health-care costs and, realistically, increasing taxes to pay for the programs that Americans really want.
The important point is that bringing down federal deficits is a long-run problem that cannot and should not be solved by gutting entitlement programs like Social Security and Medicare.
But merely to "degrade Saddam's capacity to develop and deliver weapons of mass destruction and to degrade his ability to threaten his neighbours", is not ambitious, and will not solve the long-run problem.
But debt is a long-run problem, and as the budget surpluses of the late 1990s remind us, the American economy at full employment can generate more than enough revenue to pay the government's bills.
Also, there's a danger in the Stiglitzian approach, namely that people might conclude that fixing the short-run shortfall in demand must wait until we fix the long-run problem of inequality, which is going to be very hard and a long time coming.
For a long-run problem, the optimal pricing scheme is expressed in a unified manner so that a structural relationship between the short-run problem and the long-run problem at optimality can be readily observed.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com