There are really only two ways to increase household consumption sustainably. One is to force a redistribution of income from the richest Americans to the rest. The other is to impose trade tariffs or, what amounts to the same thing, to tax foreign purchases of US assets, especially US government bonds, in order to drive down the current account deficit and so allow the US to retain a larger share of what has become the most valuable commodity in the world: demand. Needless to say it is hard to imagine either political party, or anyone associated with either the supply-side or the demand-side ideology, signing up to the whole program.
This is a part quote from /http://blog.mpettis.com/2014/09/not-with-a-bank-but-a-whimper/, last paragraph of Q.2.
referenced from Dopey Comment, still reading it
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