New Economy

Beware of anyone claiming there's a new economy and the old rules need not apply. This from Larry Kudlow:

But I believe this is a 1970s view — one that abstracts from the Internet Google revolution and the record productivity surge, and also ignores the global spread of capitalism, which has taken hold in the post-Reagan years and has increased the demand for scarce commodities across the board.

It's a new economy like when electricity was invented, or the railroads started steaming cross country or most recently the internet boom. There is no new economy, it's the same one as ever.