Economic Growth

The safety net on which Americans once relied is fast unraveling. With retirement plans in growing jeopardy and health coverage eroding, more and more economic risk is being shifted away from government and business and onto the fragile shoulders of the American family. And no matter how well educated and hard working, many Americans fear that bankruptcy could be just one unexpected lay off or health crisis away.

The fact that the U.S. population will soon top 300 million has led some environmentalists to gnash their teeth over the nation’s ability to handle our expanded "ecological footprint." One can also imagine that few champagne bottles are being popped in Parisian salons.

And there’s even worse news ahead for those who hate the notion of numerous Americans: By 2050 there will be 400 million of us. This surge marks a major watershed in our history, recreating the American Republic and leaving us with unprecedented challenges and remarkable opportunities.

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Michael Zielenziger's new book, Shutting Out the Sun, offers an intelligent, insightful look into the economic disquiet and disturbing social trends afflicting Japan. Though once on the verge of eclipsing the United States as the world’s dominant economic power, Japan failed to recover fully from the economic collapse of the early 1990s and now confronts a Japanese society and economy jeopardized by disaffected youth.

America's leaders say the economy is strong and getting stronger. But ordinary Americans aren't buying it. They see what the rosy statistics hide: We are all struggling under the weight of terrifying economic instability. No matter how well educated and hard working we are, we know that the bottom can fall out at any moment. Meanwhile, the safety net that once protected us is fast unraveling. With retirement plans in growing jeopardy while health coverage erodes, more and more economic risk is shifting from government and business onto the fragile shoulders of the American family.

Cities have always served many functions: as centers of religion, political power, and commerce. But one of their most important tasks has been to serve as engines of upward mobility and aspiration. Nowhere has this been more true than in American cities. From the earliest period of American settlement, European observers were often struck by the remarkable social mobility found in America’s urban centers.

At the 10th anniversary of welfare reform, Congress is now engaged in a debate about how best to help the working poor. At the federal level, there is much discussion about whether an increase in the minimum wage would be the best approach. Meanwhile, at the state level, ten states have increased their minimum wage this year and six more have wage initiatives on their ballots this November. Many states and municipalities have gone ahead and instituted these "living wage" ordinances with hopes of raising the living standards of some of their most vulnerable families.

Having just finished a book entitled The Great Risk Shift: The Assault on American Jobs, Families, Health Care, and Retirement -- And How You Can Fight Back, I have no doubt that Stephen Rose will accuse me of offering a "message of misery." My defense, already laid out in greater length on the website of "The Democratic Strategist" in response to three of Rose’s colleagues, is that political candidates and leaders should, first and foremost, offer a message of truth.

Greenville, S.C. -- It’s a little-known fact that Ben Bernanke, chairman of the Federal Reserve Board, grew up not far from here in the tiny town of Dillon.

If it’s been a long, fast climb for Bernanke, ascending to one of the most powerful posts in the world, it’s been a slower, but still impressive, ascent for the Palmetto State, which now boasts one of the hottest local economies in the country.

BISMARCK, N.D. -- At a time when the much-celebrated coasts creak from rising interest rates, faltering income levels and soaring energy prices, this windswept, energy-rich city of 57,000 on the western edge of the Dakota plains is experiencing the best of times. Cities like this one out in the far-off hinterland -- Iowa City, Sioux Falls, Fargo, Grand Forks, Rapid City -- now are enjoying job growth rates that, if they don’t rival Las Vegas, certainly put to shame those of most major metropolitan areas.

Like binge drinkers or fast-food fanatics, American urban leaders have had a tendency to run wild when things appear to be going well. But soon they will find that the good times are coming to end.

The prime culprit this time will be deflation of the residential real estate bubble, which has brought about a surge of tax collections and development.