Friday, November 21, 2014

General Economics

Market Watch | Consumer prices flat in October as gas tumbles
Plunging gasoline prices offset increases in housing, medical care and airline fares to keep the cost of living for U.S. consumers unchanged in October.
CNN Money | America's part-time economy
The West Coast isn't a dreamy place for many workers. Millions of Americans are languishing there in part-time jobs with no other options.

Econ Comments & Analysis                                                                                            
Wall Street Journal | How the ‘Reserve’ Dollar Harms America
For more than three decades we have called attention on this page to what we called the “reserve-currency curse.” Since some politicians and economists have recently insisted that the dollar’s official role as the world’s reserve currency is instead a great blessing, it is time to revisit the issue.

Health Care

CNN Money | Big jump in Medicaid spending after Obamacare
Spending on the health insurance program for the poor is projected to hit $460.5 billion, according to a new report by the National Association of State Budget Officers. This will make it the largest state expenditure at 26%, beating out education, transportation and corrections.


Market Watch | Fed’s Bullard says central bank ‘boxed in’ to June hike
Broad expectations the Federal Reserve will start raising short-term interest rates next summer are being driven not so much by economic considerations as they are by quirks in how the U.S. central bank conducts its policy meetings, and that’s a bad thing, a top Fed official said Thursday.
CNN Money | The Fed is worried about the stock market
The Federal Reserve is not supposed to care about the stock market. It only has two official mandates: make sure enough Americans are working and ensure prices of consumer goods stay relatively stable.

Econ Comments & Analysis                                                                                            
Market Watch | The man who called the last stock crash is already blaming the Fed for the next
This time around, Peter Schiff, the chief executive officer of Euro Pacific Capital who memorably predicted the collapse of the housing market in 2008 and the global financial crisis of 2010, is speaking out against the Federal Reserve, which, he claims, has inflated the prices of stocks and bonds with its ultraloose, unconventional monetary policies.


Econ Comments & Analysis                                                                                            
Wall Street Journal | Tax Competition Works for Europe
It seems to have come as a great shock to many in the European Parliament that Luxembourg may have encouraged multinational companies to domicile there to pay lower taxes.
AEI | Yikes. Here’s just how high the corporate tax rate is in the US
The Tax Foundation recently came out with a compilation of charts on “Business in America” that look at US economic growth, labor force, corporate tax rates and more. Here are three charts that illustrate just how high the US corporate tax rate is compared to other countries.


Forbes | How Obama's Illegal Immigrant Amnesty Will Affect Labor Markets
President Obama announced something of an amnesty plan Thursday night for illegal immigrants with children who are citizens or green card holders. Estimates vary, but this will probably affect around 4 to 5 million illegal immigrants. Politically many are arguing this policy is an extreme move, but economically the impact on labor markets won’t be huge.
Market Watch | Here’s what Obama didn’t tell you on economics of immigration
As President Barack Obama on Thursday laid out his new immigration policy in a prime-time address, here’s what neither he nor his detractors are saying about the economics of the issue.
Wall Street Journal | Obama’s Immigration Plan Seen Affecting Wages, Job Moves
President Barack Obama ’s move to offer legal-worker status to several million undocumented immigrants will send unpredictable ripples through the U.S. economy, prompting many to seek higher-paying jobs and heightening competition for positions in a number of sectors, economists say.
CNN Money | High-skilled immigration fixes are just a band-aid
As expected, the bulk of the address was related to unauthorized immigrants. But he promised to make it "easier and faster" for high-skilled immigrants, graduates and entrepreneurs to work in the U.S. after graduation.

Econ Comments & Analysis                                                                                            
CNN Money | Part-time jobs put millions in poverty or close to it
They are unable to get full-time work and the benefits and stability that come with it. It's a constant struggle for these families and a worrying sign for America's recovery.


Econ Comments & Analysis                                                                                            
AEI | The right choice for CBO director: Doug Elmendorf
Greg Mankiw recently recommended that congressional Republicans reappoint Doug Elmendorf as director of the Congressional Budget Office. I wholeheartedly agree.