Economic Policy News
The Daily Signal provides economic policy news with reporting, analysis, and commentary on markets, growth, and fiscal responsibility.
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- Opinion
RSC Budget Plan Would Fundamentally Shift the Budget Course
The Republican Study Committee has released its fiscal year 2019 budget proposal, “A Framework for Unified Conservatism.” In light of the recent budget-busting deal and projections of trillion-dollar deficits returning, the plan sends a strong message: A truly conservative budget is the answer to the unsustainable budget course the nation is on. The RSC framework…Justin Bogie -
- Opinion
‘Penny Plan’ Puts the Spotlight on Out-of-Control Federal Spending
Sen. Rand Paul, R-Ky., and Rep. Mark Sanford, R-S.C., recently revived the “penny plan,” which calls on Congress to reduce spending by at least one penny on the dollar from one year to the next. The proposal was introduced in 2011 by then-Rep. Connie Mack, R-Fla., and Sen. Mike Enzi, R-Wyo., and has been introduced…Romina Boccia -
- Opinion
Bernie Sanders’ ‘Jobs’ Program Would Undo Our Real Economic Progress
Sen. Bernie Sanders’ big-idea solution to everything is big government. The independent senator from Vermont wants government-run, single-payer health care. Seeing efficiencies that nobody else can see, he wants to turn post offices into banks. Now, he wants to leverage the notoriously inept federal job-training system (see here, here, here, etc.) and a new set…David Kreutzer -
- News
Budget Director Mick Mulvaney Says He Will Ask Congress to Cut Spending in ‘Coming Weeks’
Office of Management and Budget Director Mick Mulvaney says his staff will soon be sending a package to Congress to rescind some of the planned spending in the $1.3 trillion omnibus bill signed last month by President Donald Trump. “[We] hope to have something here in the next couple weeks,” Mulvaney said Wednesday during a…Rachel del Guidice -
- Opinion
Joint Select Committee Should Focus on Improving Budget Transparency
The first public hearing of the new Joint Select Committee on Budget and Appropriations Process Reform will take place on Tuesday. The committee was established in February by the Bipartisan Budget Act of 2018 and is made up of 16 members (eight Democrats and eight Republicans) equally divided between the House of Representatives and the…Paul Winfree -
- News
4 Areas of Federal Budget That Got Bigger Percentage Boosts Than Defense
Republicans in Congress tout increased military spending in the omnibus budget bill signed by President Donald Trump, but spending on defense actually increased less than four other areas in percentage terms. An analysis by CQ shows that four other areas are getting larger increases in spending than the Department of Defense. In descending order by percentage…Kyle Perisic -
- Opinion
New CBO Report Shows Spending on Abysmal Path
If you are looking for some grim reading, try the latest budget and economic outlook for the coming decade from the Congressional Budget Office. It is not only that the fiscal situation is spiraling out of control, it also is happening even faster than expected. The Congressional Budget Office now expects trillion-dollar deficits to return…Justin Bogie -
- News
Commerce Secretary Ross Wants to See US Catch Up to Other Countries on Economic Freedom
The United States will be turning the tide on economic freedom, said Commerce Secretary Wilbur Ross, referencing the United States being ranked 18th on The Heritage Foundation’s Index of Economic Freedom. “It’s imperative that we acknowledge and address the reasons for which our country lags behind the 17 nations that are ranked above us,” Ross…Fred Lucas -
- Opinion
These 3 Charts Show the Importance of Economic Freedom
Since 1995, The Heritage Foundation’s Index of Economic Freedom has tracked the progress of economic freedom around the world and measured the tangible impact of expanding economic liberty. Three charts released in conjunction with this year’s U.S. launch of the index highlight some of the abundant fruits economic freedom brings to people fortunate enough to…Patrick Tyrrell -
- News
Empower Women With Conservative Economic Policies, GOP Congresswomen Urge
The best way to empower women is through conservative policies such as tax reform, four Republican congresswomen say. Noting that most women are responsible for household finances and health care decisions, and that female-owned businesses employ more than 8.4 million people, the GOP lawmakers explained their support for tax relief and tax reform at a…Chrissy Clark -
- Opinion
Omnibus Spending Bill Was a Giant Giveaway to the Swamp
Last Wednesday, House leadership released a 2,232-page omnibus spending bill that keeps the federal government open through October. This bill was negotiated completely behind closed doors by just four people: House Speaker Paul Ryan, House Minority Leader Nancy Pelosi, Senate Majority Leader Mitch McConnell, and Senate Minority Leader Chuck Schumer. These four people wrote a…Sen. Mike Lee -
- News
Congress Passes Huge Budget, but It’s Not Trump’s
The Senate followed the House by passing a $1.3 trillion spending bill early Friday morning that funds the government through September, after taking 11 hours to consider the 2,232-page bill. The spending bill and its contents attracted ire from both parties, but Republicans in the majority took issue with both the substance and the process…Thomas Phippen -
- News
11 Reactions From Conservatives Unhappy With the Massive Government Spending Bill
Conservative lawmakers are disgruntled and outraged by the $1.3 trillion omnibus spending bill passed by Congress. The Senate passed the massive package, 65-32, early Friday, following the House’s 256-167 vote Thursday. Government funding was set to run out at 12:01 a.m. Saturday, and President Donald Trump unexpectedly threatened to veto the spending bill, which fails to…Rachel del Guidice -
- News
House OKs Spending Bill to Fund Government, but 90 Republicans Vote No
The House approved a $1.3 trillion omnibus spending bill Thursday to fund the government through September, allowing federal offices to stay open at the weekend but hampering some of President Donald Trump’s agenda items. The House approved the so-called omnibus bill by a vote of 256-167, but most of the dissenting votes came from Republicans, who hold…Thomas Phippen -
- Opinion
Omnibus Spending Bill Amounts to a Bundle of Broken Promises
There have been three periods of unified Republican control of the federal government since World War II. We are living in the third. Our country is built on separation of powers, and our people generally favor divided government. When Americans gave us control of the House, the Senate, and the presidency, their message was clear:…Rep. Ted Budd -
- News
3 Major Problems Conservatives Have With the Government Spending Bill
Major conservative priorities have gone missing in the spending bill to fund the government through September, House lawmakers say. Rep. Mark Meadows, R-N.C., chairman of the House Freedom Caucus, spelled out the worry Wednesday during Conversations with Conservatives, a monthly meeting with reporters hosted by conservative lawmakers and The Heritage Foundation. “I think the real…Rachel del Guidice -
- Opinion
Podcast: What Larry Kudlow Will Do for the Nation’s Economy
The Heritage Foundation’s Steve Moore joins us today to talk about the announcement that his friend Larry Kudlow, who worked in the Reagan administration and on CNBC, will become director of the National Economic Council. Moore and Kudlow served together on the Trump campaign, and Moore shares what he thinks President Donald Trump and Kudlow…Katrina Trinko -
- News
Opponents Aim to Keep Internet Sales Tax Out of Omnibus Spending Bill
An internet sales tax would cost consumers billions of dollars, kill American jobs by forcing online retailers out of the country, and be a boon to China’s internet retail giant, opponents say. “The internet is the great equalizer,” Sen. Ted Cruz, R-Texas, said Tuesday. “The internet has democratized small business. Unfortunately, wherever freedom flourishes, Washington…Kyle Perisic -
- Opinion
Brazilian Ex-President’s Loss in Court Is a Big Win for Rule of Law, Economic Freedom
Brazil’s performance in the 2018 edition of The Heritage Foundation’s Index of Economic Freedom confirms yet again that South America’s biggest country remains burdened by too much government spending, corruption, and regulatory inefficiency. Historically, a significant reason for Brazil’s lackluster track record on economic freedom has been its weak rule of law. Last month, however, a…James M. Roberts -
- Opinion
Spending Cuts, Not Tax Hikes, Boost Economic Growth
Some point to the deficit as a reason to raise taxes. But new research shows that spending cuts are superior to tax hikes when it comes to reducing the deficit. This should embolden lawmakers to pursue spending reductions in this year’s budget resolution, giving particular focus to reducing entitlement spending—a key driver of debt. Following…Romina Boccia