Two Books for the Price of One: Review Article of The Rise and Fall of American Growth by Robert J. Gordon

Robert Gordon has written a remarkable book; actually two “books,” one about the past and one about the future. The first “book” is an account of the dramatic changes in American living standards since 1870. Looking forward, the second “book” makes the case that the miracles that powered the economy upward in the century to 1970 cannot be repeated and that the rate of economic growth has stepped down. Moreover, given headwinds facing the economy, Gordon argues that the typical American family will see only sluggish improvements in living standards. The first “book” is truly extraordinary in its coverage and creativity – it is insightful, compelling, and highly entertaining (and would be for noneconomists as well as economists). The second “book” – not so much. It is more speculative and controversial. While Gordon’s more pessimistic narrative has gained significant traction, I argue that there is plenty of room for optimism. Robert J. Gordon’s The Rise and Fall of Ameri-