How to Grow an Economy, Simplified
How? Push technological innovation.
A system has inputs and outputs. In order to generate outputs, inputs are required.
Sustained growth of an economy requires continued technological innovation.
The process of mining natural resources is finite.
America succeeded as a leading world economy (1940s – present) because of the technological advantage it had over all other countries. But the current trend (2010) is that this technological advantage is now waning.
If a government really wants its economy to grow then it will drive innovation.
There are a lot of lazy, unmotivated people in this country right now (2000 – 2010) who are not pursuing higher education like the Chinese and Indians are.
The United States of America is having financial troubles right now (2008 – 2010) and is thus having to cut spending on numerous R&D and technologically-oriented projects.
The countries that lead the world are the ones that also lead in technology.
Most people are like mindless followers and are driven by the information that the media funnels to the masses. And today (2010), in America, the media and government are fusing an ever-tighter relationship. So that the filth that spews from Hollywood is accepted and perhaps encouraged by the government and its leaders.
This leads to the assumption that the American government, and the leaders behind it, no longer care for the American economy to grow. And this may be the case, as the people with the most money have the flexibility to locate anywhere in the world, and do not have to be restricted to any one place. These people will put their money where the advancing markets are, whether it is the U.S., China, or some other country.