And this measure would benefit the environment into the bargain. However, it is not just the United States that should be doing something to lessen the global imbalances on the balance of payments. The rest of the world, too, should pull its weight; Asia, by observing greater exchange rate flexibility, and Europe, by generating more growth.
Thus I do not expect the long-run growth potential of the U.S. economy to be materially affected by the financial crisis and the recession if – and I stress if – our country takes the necessary steps to secure that outcome.