The term “steady state” derives from the 19th-century classical economist John Stewart Mill’s assertion that, after a certain period of growth, economic policy makers should strive for a “stationary state” in which capital stock is held relatively constant and population levels are stable. If left unchecked, Mill argued, economic growth would inevitably lead to a decline in human welfare and to irreversible environmental damage.Read the rest of Susan Arterian Chang's excellent article on steady-state economics at The Investment Professional.
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