Economist Stiglitz Sees `Major Structural Changes' in Demand

The video discusses the long-term economic impacts of the pandemic, referencing a Bloomberg article by Kenneth Rogoff and Carmen Reinhart. It highlights potential productivity shocks and supply chain issues. Joseph Stiglitz provides insights on structural changes, demand problems, and the effects of debt on firms. The conversation also covers the challenges of onshoring and its implications for jobs and manufacturing, emphasizing the complexity of global supply chains and the potential continuation of deindustrialization.

What do Kenneth Rogoff and Carmen Reinhart predict about the future of supply chains post-pandemic?

• They will remain unchanged.

• They will be more inward-looking.

• They will become more globalized.

• They will return to pre-crisis normal.

According to Joseph Stiglitz, what is a major consequence of increased debt for firms post-pandemic?

• Increased investment and consumption

• Reduced precautionary behavior

• Dampened investment and consumption

• Higher productivity levels

What shift in work habits does Joseph Stiglitz foresee as a result of the pandemic?

• Increased use of airlines

• Decreased reliance on digital communication

• More remote work using platforms like Zoom

• A return to traditional office settings

What challenge does Joseph Stiglitz highlight regarding the separation of supply chains?

• Separating supply chains is very difficult.

• Supply chains are not interdependent.

• It is easy to separate supply chains.

• Supply chains have no impact on the economy.

What does Joseph Stiglitz suggest about the impact of onshoring on jobs in the United States?

• It will have no impact on the job market.

• It will significantly increase labor jobs.

• It will lead to more automation in manufacturing.

• It will reverse deindustrialization.