As the process of putting surplus resources to work approaches its limit, the task of lifting the productivity of the already-employed resources takes on even more importance, if growth in material living standards is to be maintained at the current rate. What can go wrong? The above is not an unattractive scenario. But of course it presumes that growth continues.
The business cycle has not been repealed, however, and so with 11 years of growth under our belt already, rather than presume on growth indefinitely, we should ask: what can go wrong? Many of us might immediately think of some global calamity, with one or more of the major regions relapsing into recession, delivering an even more difficult international environment than we face now.