Trump’s Perfect Storm that Could Sink the American Economy
Donald Trump has steered the American economy into a perfect storm. In the book, film, and now in real life, a rare combination of destructive forces comes together and magnifies the damage. This storm could break the U.S. economy. Trump’s tariffs are the most destructive force. Their first-order damages begin by arbitrarily driving up the prices of every product and… Continue reading
Jobless Benefits, Deficits, and the Art of Washington Compromise
The President will sign another $34 billion extension of unemployment benefits this week, and this is only the beginning of a debate almost certain to produce uncomfortable moments for both parties. For now, the Republicans have embraced the more shameless position. Their new talking points tell us that the economy cannot afford any new measures that would increase the deficit…Continue reading
The Economy is Slowing Down – Alas, Much as We…
Recent polls have left most Democrats discouraged, even if the loss of public confidence reflects economic weaknesses largely beyond their control. Americans these days seem to both blame President Obama for economic developments that were not his doing and discount his real accomplishments in other areas. It’s hardly a surprise that life in politics is unfair. The real misstep here…Continue reading
In Promoting Universal Broadband, Less Truly Is More
The right federal policy isn’t always hard to figure out. Take broadband. As broadband becomes an increasingly important factor in securing access to economic opportunities and public information, it’s obvious that the right public policy is to promote universal broadband service. Not only are most job openings today posted only online, so is most information about health care, government services,…Continue reading
The Importance of Blaming the Right People for the Wall…
This year’s notorious Supreme Court decision on campaign finance found that corporations have the full rights of individuals, at least in the area of campaign finance. While that ruling may have serious consequences for how we conduct elections, most of us already approach big companies as if they were people — and then, when those companies wreak havoc on the…Continue reading
Memo to the President and other World Leaders: Resist a…
A dangerous and infectious economic idea is spreading around the world. Last week, the liberal majority in the House of Representatives rejected efforts to inject a little more stimulus into the economy; and across much of Europe and Asia, presidents, prime ministers, parliaments and congresses are calling for tighter budgets. Many economies face some genuine threats these days; and suddenly,…Continue reading
Some Hard Truths about Globalization and Jobs
I find myself in Stockholm, an old capital city of a small economy animated by the drive of ingenious entrepreneurs and the extraordinary global success of more native companies than any other nation its size, from Ikea and Erikson to the Tetra Laval packaging giant and the Axel-Johnson conglomerate. Sweden’s economic drive and success are predicated on an acute understanding…Continue reading
The Economics of Immigration Aren’t What You Think
Waves of new immigrants often spark economic anxiety and cultural discomfort, as well as occasional violence and wide-net crackdowns, on the Arizona model. Even here, a nation comprised almost entirely of immigrants and their descendents, we’ve seen these reactions not only in recent times but also a century ago, when waves of poor immigrants from Europe arrived here. With a…Continue reading
A New Plan to Create Jobs—and Address Climate Change
The long-awaited climate proposal from John Kerry and Joe Lieberman (minus Lindsay Graham) is now on the table; and it’s clear already that it has no better chance of being enacted than other failed proposals before it. One informal count this past week finds 26 Senators likely to vote yes and another 11 probable supporters — a total of 37,…Continue reading