Part of my personal mission is to try to stay out of daily online conflicts and instead contribute something to long-term understanding. There are plenty of ongoing stories to which I think I can contribute some perspective. One is the long-term fiscal position of the U.S. government. Another is the potential for the political divide in this country to escalate, with both sides taking to the streets. Yet another is how things will play out with what we are calling artificial intelligence (large language models). The story I want to introduce here is the potential for industrial policy to misallocate resources. The attempt by government to use powerful carrots and sticks to increase domestic factory capacity and to move toward renewal energy sources could work out very well. You can read Noah Smith for the enthusiastic case.
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