What's Stalling the Next Economic Revolution? The Next Economic Revolution Is Likely to Come in Healthcare and Education. Two Things Stand in the Way: Credentials Cartels and State-Subsidized Incumbents

Technological revolutions create economic revolutions, but with a lag. It takes time for new patterns of production to emerge. I believe that the computer and communications revolutions ultimately will transform two important sectors of the economy: education and healthcare. They will become more effective, more productive, and more important as a share of our nation's output and employment. There are, however, many impediments to transforming these sectors embedded in government policy. The regulations and subsidies that protect outmoded methods may delay the revolution for years, or even decades.