@Alon @kentwillard Places that are long-term depressed, high-unemploymnt, low-growth, low-inflation are full of discontent and division for sure. Failure and poverty breed fascism. https://drafts.interfluidity.com/2023/08/14/fascism-as-triage/
But that's a very different question than the question that faces political actors, whether a near-term downturn is better met with austerity to stimulus over the next electoral window. A hopefully transient unemployment is more survivable than an inflation.
/fin