LeviathanBig government staged a comeback as the social contract between society and the state got rewritten on the fly. At least in developed economies, ultra low interest rates and unfazed financial markets don’t point to a near-term crisis. The new consensus says governments have more room to spend in a low-inflation world, and should use fiscal policy more proactively to drive their economies. In the pandemic, companies accelerated work on machines that can check guests into hotels, cut salads at restaurants, or collect fees at toll booths. Governments from California to the UK announced plans to ban the sale of new gasoline and diesel cars by 2035.

Source: Hindustan Times December 30, 2020 03:27 UTC