Larry Summers: On the Economic Outlook, the Case for Public Investment, and the Threat of Inflation

How should we think about fiscal stimulus in an era of low interest rates? Is $1.9 trillion too much? Is the proposed relief package sufficiently well targeted? In this Conversation, former Treasury Secretary Lawrence H. Summers shares his analysis of the American economy and the challenges we face. Summers argues for substantial fiscal stimulus but emphasizes the importance of investments in infrastructure that could lay the groundwork for durable economic growth. Summers warns about the dangers of inflation—and especially if the accommodative fiscal and monetary policies of the crisis era become standard practice. Finally, Kristol and Summers discuss the state of higher education and how universities should conceive of their mission today.