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Lessons from the great inflation: Paul Volcker and Ronald Reagan's forgotten miracle created a quarter century of prosperity--and a dangerous bubble of complacency.

IF YOU ASKED a group of scholars to name the most important landmarks in the American story of the last half-century, they would list some or all of the following: the war in Vietnam, the civil rights movement, the assassinations of the Kennedys and Martin Luther King, Watergate, the sexual revolution, the invention of the computer chip, Ronald Reagan's election in 1980, the end of the Cold War, the creation of the Internet, the emergence of AIDS, the terrorist attacks of September II, and...

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