In a blog post, John Cochrane proposes step-by-step (politically unattractive) measures to increase growth:
- Smarter (growth-oriented) regulation, in particular
- Higher equity requirements and less short-term funding rather than complex financial regulation
- Deregulation of health care supply
- More cost-benefit analysis in environmental policy
- Broad-based consumption rather than investment taxes
- Clear separation of allocative and distributive fiscal policy
- Focus on distortions in social programs
- Deregulation of labor markets
- Rational immigration rules distinguishing between permits to entry, reside, or work and citizenship
- Less government intervention in the student loans market
- Less protection, more free trade
- More spending for the legal and criminal justice system
- Etc.