Daniel Gross bemoans the loss of America’s prestige as a leader in financial management.
Americans’ ability to manage complex systems has been the ultimate competitive advantage. It has allowed the United States to enjoy high growth and low inflation—a record we haven’t hesitated to lord over our foreign friends. . . .
But now, thanks to widespread incompetence, American management is on its way to becoming an international laughingstock. Faith in American financial sobriety has been widely undermined by the subprime mess. The very mention of the strong-dollar policy now elicits raucous bouts of knee-slapping in even the most sober Swiss banks.
Okay, the American economy hasn’t been managed very well. Someone please educate me: Is that the fault of corporate management, governmental policy, or both?