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
A 12-Step Plan for Global Economic Freedom
In the decades since The Heritage Foundation began publishing its annual Index of Economic Freedom in 1995, the world has witnessed profound advances in economic freedom. Open economies have led the world in a startling burst of innovation and economic growth, and political authorities have found themselves increasingly held accountable by those they govern. Unfortunately,… -
news
How Republicans in Congress Would Respond to Big-Spending Infrastructure Push
Fresh after Congress and the White House scored the largest transportation spending package in a decade, both presidential candidates this year are proposing billions in funding to rebuild the nation’s infrastructure. While both Hillary Clinton and Donald Trump—and the parties they represent—agree the nation’s roads, bridges, airports, rail system, and ports are in need of… -
opinion
Here’s How Americans Can Curtail ‘Autopilot’ Spending and Take Back the Federal Budget
The federal budget is out of control. Autopilot spending currently consumes 68 percent of all tax dollars and will devour an ever-larger share of the budget in the future. If the lack of a congressional budget resolution this year is any indicator, Congress isn’t jumping at the chance to make meaningful reforms. However, time is… -
opinion
Grim Budget Projections Show Need for More Congressional Action, Less Rhetoric
A recently released congressional report shows the depth of American fiscal problems and the need for lawmakers to tackle the nation’s dire financial situation. On Tuesday, the Congressional Budget Office released its 2016 Long-Term Budget Outlook. The annual publication projects the levels of U.S. spending, taxes, deficits, and the debt for the next 30 years…. -
opinion
How the Federal Government Can Get Its Spending Under Control
The federal government has a spending problem that threatens to swallow up the resources of the American taxpayer and crush the American economy. Congress can begin to solve this dilemma if it expands self-imposed restrictions to the part of the budget that is driving the country toward crisis. With Congress reneging on its promise to… -
opinion
These 3 Conservative Policies Have Allowed Indiana’s Economy to Flourish
Last month, America’s economy added just 38,000 jobs, the weakest growth in five years. We should expect more than the lackluster 2 percent growth we’ve grown accustomed to under President Barack Obama. Luckily, there is already a successful working model in my home state of Indiana to accomplish this. The recession hit Indiana harder than most states…. -
opinion
America’s Next President Must Fix Autopilot Entitlement Spending
A recent report by the Committee for a Responsible Federal Budget raises concerns that proposals by this year’s presidential candidates would further increase the national debt. America’s major entitlement programs—Medicare, Medicaid, Obamacare, and Social Security—are driving the nation’s greatest fiscal challenge, and yet Americans have heard very little about how the candidates will address these… -
opinion
What Does Brexit Mean for America’s Economy?
Last Thursday, British voters chose to leave the European Union, 52 percent to 48 percent. The vote will have significant political implications in the U.K. and may tilt the balance of influence in Brussels, but it is likely to have little lasting economic impact on Americans. The U.S. exported $56.4 billion worth of goods to the U.K. in… -
news
Koch Group Pushes 2-Year ‘Stop, Cut, and Fix’ Spending Plan on Congress
To put Washington’s fiscal house in order, an organization inside the conservative Koch network is pushing Congress to skip a budget and move straight to a two-year spending bill instead. Dubbed “Stop, Cut, and Fix,” the plan calls for a continuing resolution that would fund government in fiscal years 2017 and 2018 at current spending… -
opinion
New Peruvian President Pledges to Fight Populism and Expand Economic Freedom
It was the latest encouraging sign that Latin Americans are abandoning populist leftism in favor of market-based democracy. Last week Pedro Pablo Kuczynski, a conservative 77-year old former World Bank economist and investment banker better known by his initials, “PPK,” narrowly defeated right-wing populist Keiko Fujimori, daughter of autocratic former Peruvian president Alberto Fujimori. Peru’s… -
opinion
Congress Should Not Use Defense Budget as Piggy Bank for Personal Priorities
The defense budget should be used to pay for things that make our country more secure and help the men and women in uniform accomplish their mission. Unfortunately, some in Congress use this funding as a piggy bank for their own unrelated priorities. In fact, for the current fiscal year, Congress took almost $500 million… -
opinion
Venezuela’s Crisis Is the Latest Example of Why Socialism Doesn’t Work
It seems the “Socialism of the 21th Century” is really no different from socialism from the past. Venezuela’s current tragedy, simultaneously culminating in food shortages, a crime epidemic, and an energy collapse, is the latest example of why centralized planning economy does not work—and how it is indistinguishable from tyranny. In the South American country,… -
opinion
Congress Should Think Twice Before Creating Another Mandatory Spending Program
The latest development in Congress’s ambition to achieve “regular order” is the push to reauthorize the water resources development programs last authorized in 2014. But one provision in the House’s bill would actually work against Congress’s ambition for order by moving a large portion of spending out of the regular appropriations process. Both the House… -
news
Is It Time to Increase Defense Spending? McCain Proposal Sparks Debate
At a time when the U.S. is in combat in Afghanistan, Iraq, and Syria, while facing the constraints of sequestration, Sen. John McCain is setting up a dramatic debate on defense spending as he and his colleagues consider the annual defense policy bill. On Wednesday, citing what he calls a “dangerous mismatch” between worldwide threats,… -
opinion
A Skeptical Look at Regulatory Budgeting
The burden of federal regulation on the U.S. economy has often been compared to a tax. Unlike ordinary taxation, however, these regulatory burdens are not accounted for in the federal budget. Unfortunately, the vision is as unattainable as it is tempting. Some members of Congress would like to create a “regulatory budget” specifically to limit… -
opinion
Thanks to GOP, Washington’s Summer Spending Spree Has Started
Washington’s summer spending spree is off to a very bad start for taxpayers. Congress couldn’t agree on a budget deal earlier this spring, but that isn’t stopping them from passing spending bills at historic levels. And President Barack Obama is fully engaged in budget gimmickry as well. The good news is that the majority of… -
opinion
The Case for a Regulatory Budget
The federal regulatory state is out of control. It is out of control economically, costing Americans between $1 trillion and $2 trillion per year in artificially inflated prices. And it is out of control politically, as federal bureaucrats now write upwards of 95 percent of all new federal “laws” without winning a single vote in Congress or… -
news
House Conservatives Mull Budget ‘Trigger’ That Could Reduce Federal Spending
Conservatives are considering a budget compromise that would reduce spending by $30 billion unless the House is able to pass at least 10 appropriations bills. The “trigger” proposal, first reported by Roll Call, is the latest spending suggestion designed to break a stalemate in the ongoing budget battle. A long shot and a bit of… -
news
House Republicans to Move Forward on Spending Without a Budget Number
House Majority Leader Kevin McCarthy, R-Calif., just ended a civil war that has raged inside the chamber’s Republican conference for months. GOP leadership will not bring a budget plan to the floor next week for a vote, McCarthy’s office told Politico Thursday afternoon. And without a budget resolution, the House Appropriations Committee can begin moving… -
news
The Left’s Push to Get Rid of Government Spending Transparency
How transparent is your state government’s budget? According to North Dakota Treasurer Kelly Schmidt, it can vary widely from state to state. In an interview with The Daily Signal, Schmidt explains why no matter where you live, citizens should be aware of a growing movement among liberal lawmakers to make it harder for you to…