The European Central Bank appears ready to initiate a €50 billion ($58 billion) monthly government bond buying program-Quantitative Easing-but that won’t do much for the moribund continental economy. Central banks can print money to purchase government bonds to push up prices and lower interest rates on those assets and competing debt, such as corporate bonds [...]
In his State of the Union address, President Obama will propose much he knows the Republican-controlled Congress will not enact, but his real agenda is to set the table for Hillary Clinton’s 2016 presidential campaign. Once again, the president will propose soaking the rich with higher estate, capital gains and bank taxes, while adding to [...]
The economy added 252,000 jobs in December-down from 353,000 in November. With GDP growth slowing, prospects for jobless Americans are worsening. The unemployment rate fell to 5.6 percent, but only because so many working age Americans quit looking for work and are no longer counted in the official jobless tally. If the same percentage of [...]
Friday the Labor Department is expected to report the economy added 245,000 jobs in December. That’s down from 321,000 in November, and a slower economic growth will likely drag on jobs creation through much of 2015. After a tough winter and brief economic contraction, the economy grew at a 4.8 pace the second and third [...]
The U.S. economy can handle higher interest rates, and the Federal Reserve’s policymaking committee has signaled such a move is likely by summer. The Fed has kept short term borrowing rates near zero since December 2008 to support recovery from the financial crisis; however, the economy is picking up steam-GDP growth should be in the [...]
Here are the forecasts for upcoming economic data.
Falling gas prices add to holiday cheer, but those are not an unvarnished good for the U.S. economy-thanks to bad economic policy. Oil selling at about $65 a barrel oil prices gives consumers and many businesses a lot of additional buying power, but it also puts a damper on the U.S. oil and gas boom. [...]
The economy added 321,000 jobs in November-a dramatic jump from October. Overall the economy is creating many more jobs, but the outlook remains guarded. Unemployment stayed constant at 5.8 percent because the jobs count is based on the survey of employers, whereas unemployment is based on a direct household survey. The latter indicated many fewer [...]
Black Friday weekend is just not what it used to be. Despite falling gas prices, stock prices posting records, and buoyant consumer confidence, Thanksgiving weekend sales-in stores and on-line-were down about 11 percent from last year. Five forces combined to reduce this year’s spending binge-and most will endure in the years ahead.
Senator Charles Schumer, in a recent speech, stated President Obama and Democratic majorities in Congress were elected in 2008 to get the economy working for middle class families. Consequently, assigning extraordinary priority to passing the Affordable Care Act was a mistake. In 2008, most middle class families had private insurance they liked; their incomes had [...]