The Daily Economy
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Donald Trump’s Choices on Free Trade
This month’s Business Conditions Monthly includes a section about free trade and President-Elect Donald Trump. It discusses his leverage to make changes to existing free trade deals, and the consequences of pulling out of them altogether. The piece also discusses the causes of the decrease in manufacturing in this country, and why limiting imports would…
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A More Affordable Holiday Season
In the new edition of AIER’s Everyday Price Index, we discuss the prices for common holiday gifts like apparel, books, and personal-care products, which are all lower.
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Keep the Fed’s Decision in Perspective
The Fed’s decision yesterday to raise the federal funds target rate by ¼ point, from a range of 0.25 – 0.50 to 0.50 – 0.75 sent shockwaves through markets. But it should be interpreted with a healthy dose of calm and perspective.
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The Receding Risk of Recession
Economic conditions have improved, as our economic index rose to 67 in November, up from 58 in October, according to the new edition of Business Conditions Monthly, out today.
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The Struggle to Save Money
I’ve discussed some reasons Americans spend more and save less than they should or even plan to. The implicit assumption in these discussions was that they had the option — in other words, that they had the resources to achieve some level of financial wellness. But as my upcoming brief in January shows, that only…
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Economics Education: Planting the Seeds
I recently came across Fred Ende’s blog on the topic of his educational professional development resolutions for 2017. I like the analogy that he uses to describe the value of a professional-development follow-up process by stating that “regular water — reflection — and sunlight — coaching/support — are needed for the best growth” of a…
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More Positive News For The Economy
The Federal Reserve yesterday afternoon released data on household balance sheets and income for the third quarter of 2016, and the results look favorable. Household net worth rose to a record $90.2 trillion on gains in assets, amid modest increases in liabilities.
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Budget Airlines Are Driving Competition For Everyone
United Airlines made headlines recently with its announced introduction of Basic Economy pricing – and mostly not in a good way. Most of the coverage has focused on the fact that this plan no longer includes complimentary carry-on baggage or choice of seating, with the baggage fee recently drawing the ire of Senator Chuck Schumer. …
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Why Auto Sales Are Up
Increased sales of both cars and light trucks have been supported by improvements in both the labor market and financing conditions.
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How Much Control Does the Fed Actually Have?
AIER Trustee Walker Todd recently took note of this provocative piece from George Selgin, which argues that the Federal Reserve Bank’s actions since the Great Recession have done little good to boost the economy.
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AIER’s Bob Hughes Quoted in Wall Street Journal
The Wall Street Journal’s Ben Leubsdorf included AIER Senior Research Fellow Bob Hughes in his roundup of economists and analysts reacting to Friday’s jobs report.
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Mixed Details Behind Big Unemployment Rate Drop
A mixed November jobs report suggests the economic expansion continues to grind ahead and the labor market continues to tighten, but wage growth faltered.
