All countries will eventually need to rebuild their growth models around digital technologies and the human capital that supports their deployment and expansion.
Michael SpenceRead
Reforms aimed at increasing an economy's flexibility are always hard - and even more so at a time of weak growth - because they require eliminating protections for vested interests in the short term for the sake of greater long-term prosperity.
Interpretation
What this quote means
Implementing reforms for an economy can be difficult as it often requires sacrificing current interests for future benefits.
This quote highlights the inherent challenges in making economic reforms, particularly during periods of low growth. It suggests that in order to improve flexibility and promote long-term prosperity, policymakers must confront and dismantle existing protections that benefit certain interests, which can be politically and socially contentious in the short term.
Themes
ReformsEconomyFlexibilityGrowthProsperityShort TermInterests
In practice
Example use cases
During a government meeting discussing economic strategies, this quote could be referenced to emphasize the need for necessary reforms.
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