Republican lawmakers have played down the significance of hitting the debt limit, saying the U.S. can avoid default by putting aside funds to pay bond holders. Economists affiliated with the party aren’t so sanguine.
Although Warren Buffett may be a stellar investor, his entry into the world of federal tax policy has brought forth nothing but bad ideas based on flawed information and misleading demagoguery. Let’s review the record.
The new health-care law is a threat to the health of small businesses. Its heavy dosage of mandates and penalties will be a financial burden, and the law is riddled with hidden barriers to stronger job growth.
Fees that health insurers will be required to pay the U.S. government starting in 2014 will give nonprofits such as Kaiser Permanente a market advantage over corporate competitors, said economist Douglas Holtz-Eakin.
Aug. 30 (Bloomberg) -- Lanhee Chen, policy director for Republican presidential nominee Mitt Romney's campaign, Douglas Holtz-Eakin, president of the American Action Forum, former U.S. Labor Secretary Elaine Chao, and former Representative Vin Weber of Minnesota participate in a panel discussion about fiscal policy.¶ Bloomberg's Peter Cook moderates the event sponsored by Bloomberg LP and Peterson G. Peterson Foundation at the Republican National Convention in Tampa, Florida. (Source: Bloomberg)
In 2013, a graduate student discovered a flaw in a spreadsheet, renewing the debate about austerity and debt. Emerging economies tanked, and Bitcoin boomed. In the U.S., unemployment fell and the Federal Reserve started to scale back its bond-buying program. Research focused on inequality and jobs gap between the highly skilled and everyone else. The Affordable Care Act began.
The U.S. economy is struggling. More than two years after the end of the recession, unemployment is stuck at more than 9 percent. Analysts are lowering their estimates of growth, which they now forecast will be even slower than the disappointing pace of 2011’s first half.