Lynda Gratton argues that recessions are, in the long-run, healthy, and that even amidst this crisis, we can see the glimmers of useful outcomes and correctives. Maybe. It's certainly true that bubbles often have useful impacts: The tech bubble was probably helpful: It supercharged investment in the tech sector, and though much of that spending proved useless and even mad, much contributed to the rapid maturation of the internet. It's much too early to take stock of the Housing Bubble, but you could certainly imagine some arguing that it spread homeownership in a way that will prove ultimately constructive, or maybe discredited it in a way that will prove ultimately healthy. But it's hard to say the same about the financial crisis. When you wipe out the value of stock portfolio, you leave no fundamental assets behind. It's not like investing in Amazon, or a home. You've just taken an individual's expectations for financial life course, inflated them, and then punctured them. And the question will be whether the individual had already locked himself into spending that assumed continuous returns, or whether they can adapt. There's really not much to be glad about here. Gratton argues, for instance, that "those who last year would have jumped on a plane to attend meetings have had their travel budgets slashed. They are being forced to use video conferencing and webcasts," and this mean we might "build working communities that are virtual." Maybe, but that's pretty weak tea.
