Utermann: Must Change From Narrow Measures of GDP

The transcript discusses the global shift towards fiscal policy, highlighting the reluctance of politicians to change long-held beliefs without a major economic downturn. Mario Draghi's efforts to encourage European governments to take action are noted. The conversation also touches on the need to rethink economic measurements beyond GDP, considering factors like GDP per capita. Assumptions about lower trend growth rates in the US and Europe are discussed, along with the need for countries, especially in Europe, to focus more on investment rather than social programs in their fiscal spending.

What is the main reason politicians are hesitant to change their long-held beliefs, according to the first section?

• Fear of losing public support

• Lack of understanding of fiscal policy

• The absence of a global recession

• Pressure from international organizations

Who is actively encouraging European governments to adopt more fiscal measures?

• Gavin Davis

• Mario Draghi

• Suderman

• Allianz Global Investors

What does the second section suggest we need to reconsider in terms of economic success?

• The influence of global investors

• The impact of social programs

• The importance of GDP per head

• The role of central banks

According to the third section, what is a major issue with current fiscal spending?

• Insufficient support for social programs

• Too much focus on infrastructure

• Excessive spending on military

• Lack of investment in long-term projects

What growth rate does the third section assume for the US?

• 1.5% to 2%

• 0.5% to 1%

• 2% to 3%

• 3% to 4%