At the end of each year, commentators traditionally reflect on emergent themes likely to shape the future. These prognostications usually ignore the indifferent record of prophets. The current consensus identifies two themes for the coming year: rising populism, and reflation -- that is, stronger growth and the return of inflation.
The issues are related. Afraid of declining living standards for the majority, electorates have embraced simplistic explanations for the problems confronting many Western societies and economies. They have supported candidates with magical solutions, promising a painless and rapid restoration of prosperity.
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