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Tag Archives: fiscal stimulus
US TAX INCREASES: An Economic Time Bomb
Pete Du Pont in the WSJ lists all the tax hits for Americans in 2011. He then quotes Arthur Laffer who predicts an “economic collapse” in 2011 as a result of Americans anticipating many of this increases and moving income … Continue reading
LOW RISK OF US DOUBLE DIP IN 2010 FIRST HALF
The US economy is in an inventory rebuilding phase and Q4 2009 GDP growth is now expected between 4% and 5%. However, the December employment report was a reminder that final demand has yet to convincingly rebound. We must not … Continue reading
State, Local Tax Revenues Decline 7%
Higher local taxes and fees of all kinds looming. State and local tax revenues fell 7% in the third quarter of 2009 from a year ago, the Census Bureau said in a report underscoring how the economic downturn is stressing … Continue reading
States Scramble to Close New Budget Gaps
The next shoe to drop… (…) Many states eliminated expected deficits earlier this year with budget cuts, tax increases, short-term borrowing, accounting moves and planned gambling expansions. But despite a slight improvement in the U.S. economy, states are now finding … Continue reading
Washington warned of looming debt crisis
The US is heading for a public debt crisis unless action is taken soon to stabilise debt relative to national income, a bipartisan group of former congressmen, White House officials and budget experts warned on Monday.(…) The group, known as … Continue reading
DEBT ALARMS!
Budget deficits and rising debt levels are beginning to make headlines. Rating agencies need to rebuild reputations and will be speaking and acting early and harshly. This will have many ripple effects and unnerve investors at a time when most … Continue reading
Posted in Uncategorized
Tagged bonds, CREDIT, CURRENCIES, financial crisis, fiscal stimulus, INTEREST RATES
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Stimulus III
(…) One proposal would revive his 2008 campaign promise for a zero capital gains tax on new investments in small business stock. (…) Another decent idea would extend enhanced expensing for small business that was otherwise set to expire at … Continue reading
CBO: 600,000 to 1.6 Million Employed by Stimulus
The Congressional Budget Office late Monday said it estimates that the federal stimulus package sustained between 600,000 and 1.6 million jobs in the third quarter, and raised gross domestic product by 1.2 to 3.2 percentage points higher than it would … Continue reading
Two More Signs Additional Fiscal Support Is Coming
Since Congress enacted the American Recovery and Reinvestment Act (ARRA) in February, there has been intermittent discussion of a “second stimulus bill”. However, officials who raised the possibility of additional stimulus always quickly backtracked or made clear that they were … Continue reading
U.S. Readies Jobless Aid and Help on Homes
(…) Congress gave final approval to a stimulus measure that will extend unemployment benefits for the longtime jobless, aid that will bring total assistance for many to nearly two years. Other provisions of the bill will expand two popular tax … Continue reading
US government debt
This is not unlike people who borrowed to buy a house they really could not afford just because low mortgage rates and lenient lending practices made the monthly payments affordable…until rates and capital repayment requirements changed. (…)Net interest as a … Continue reading
Posted in Uncategorized
Tagged financial crisis, fiscal stimulus, INTEREST RATES, US economy
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NEW ECONOMIC MEASURES COMING SOON
Interesting how the same speech can be reported in different ways. Monday, Larry Summers, director of the National Economic Council, spoke at the annual meeting of the National Association of Business Economics. The WSJ article was quite tame, with the … Continue reading
