Economy News
The Daily Signal reports on economy news with analysis and commentary on growth, recession risks, employment, and financial trends.
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- Opinion
As Summer Comes to an End, the Economy Is Hot as Ever
The Bureau of Labor Statistics announced another solid jobs report Friday, reporting that in August, the U.S. exceeded expert predictions by creating 201,000 jobs. The unemployment rate stayed at a near-record low of 3.9 percent. This year’s string of healthy jobs reports is consistent with other factors that indicate a robust economy. For instance, small…Timothy Doescher -
- Opinion
Newspapers Win as Trade Commission Spikes Tariffs on Canadian Newsprint
American newspapers, their workers, and readers dodged a protectionist bullet last week when the U.S. International Trade Commission unanimously blocked the Trump administration from imposing tariffs on Canadian newsprint. The Commerce Department had proposed the tariffs in the belief that Canadian paper producers were dumping product in the U.S. at unfair prices. It came to…Patrick Tyrrell -
- Opinion
Paraguay’s Economic, Political Transformation Deserves Recognition
South America is not at the center of global affairs, but few countries in the region may go as unnoticed as Paraguay. At first glance, Paraguay appears an unlikely prospect to stand out as an emerging-market democracy. In the shadow of the large and populous economies of Brazil and Argentina, the small landlocked country was…Anthony B. Kim -
- Opinion
It’s Time for a Trade Deal With Taiwan
Taiwan and the United States have always been natural partners. Both are committed to free markets, the rule of law, and democracy. Yet due to China’s constant and growing impositions, the U.S.-Taiwan relationship has not reached its full potential. The two nations have enjoyed a long history of economic cooperation, but there is much more…Anthony B. Kim -
- Opinion
Houston Has a School Spending Problem, and ‘Free’ Lunches Won’t Fix It
Houston schools will offer free meals to all students this year, but there’s no guarantee that will help more families who are still recovering from Hurricane Harvey, which struck a year ago this week. Nearly all Houston students were eligible for subsidized free meals last year, so this move just expands an already sizable federal…Jonathan Butcher -
- Opinion
Economic Freedom Improves Lives, Yet Another Study Finds
A new metastudy by Serbian think tank Libek confirms that countries wishing to increase their economic growth—and reap the many rewards that come from doing so—need to focus on advancing the economic freedom of their people. Libek looked at 92 scholarly research studies that considered the relationship between economic freedom and economic growth. Eighty-six of…Patrick Tyrrell -
- Opinion
America Leapfrogged Other Countries in Tax Reform, and Economic Growth Is the Result
In February 2017, U.S. House Ways and Means Committee Chairman Kevin Brady remarked at a conference on international tax competition, “Our blueprint delivers a tax code built specifically to leapfrog America from dead last among our global competitors back into the lead pack of the most pro-growth tax systems on earth.” Fast forward to August…Anthony B. Kim -
- Opinion
How the Left Misunderstands Free Markets
How did our nation go from having a high-growth economy in the 19th and early 20th centuries, to struggling in recent years to achieve 3 percent annual growth? The American economy today is mixed: It is partly free, vibrant, prosperous, and entrepreneurial and partly unfree, obstructed, and lethargic. The free part is governed by the…Luigi Bradizza -
- Opinion
Economic Turnaround: Pittsburgh Rebuilds and Rebrands
The collapse of the U.S. steel industry in the 1980s sent once-thriving Pittsburgh into a severe economic depression. Pittsburgh has struggled to rebuild and rebrand itself for decades. Yet the city today is not the crumbling, desolate place one might expect. The city has been transforming itself from an industrial economy based on steel to…Julia Howe -
- News
New Jersey Budgets $5M to Prop Up ‘Community’ Newspapers
The New Jersey state Legislature set aside $5 million in the annual budget to help fund what it calls “community journalism,” which critics say raises serious ethical questions regarding the influence it gives government over news coverage. As local newspapers have seen circulation and advertising steadily decline in the digital age, the traditional business model…Jeremiah Poff -
- Opinion
3 Budget ‘Reforms’ That Would Make Matters Worse, Not Better
A congressional select committee on reforming the budget process recently held another public hearing, supposedly with the ultimate aim of designing a more transparent, accountable, and responsible budgetary process. Any such changes should also re-establish and enhance Congress’ power of the purse. But if those are the goals of the Joint Select Committee on Budget and…Dody Eid -
- Opinion
Free-Market Policies Make the Most of the Sharing Economy
Economic freedom enables the sharing economy, and in a groundbreaking new multinational study, the Swedish think tank Timbro finds a strong relationship between free markets and the sharing economy. The Timbro Sharing Economy Index is the first global index of the sharing economy, estimating the size and usage of the sharing economy in each country….Anthony B. Kim -
- Opinion
Zero Tariffs and Zero Barriers Are the Way to Prosperity
It’s not rocket science: Economists understand that tariffs harm both the exporting country and the importing country. Retaliatory tariffs do the same thing. Yet too many foreign policymakers, after rightly warning of the harmful economic consequences of new U.S. tariffs on steel and aluminum, imposed retaliatory tariffs of their own. That’s bad—but much worse would…Anthony B. Kim -
- News
Trump, EU Leader Agree to Work Toward ‘Zero Tariffs’
In what President Donald Trump called “a very big day for free and fair trade,” he and the leader of the European Union agreed Wednesday to work to end tariffs on nonautomotive products. European Commission President Jean-Claude Juncker and Trump met at the White House, then went to the Rose Garden to announce not only…Fred Lucas -
- Opinion
Trump Could Give Aid Money to Farmers Hurt by Tariffs. Here Are 5 Reasons That’s a Bad Idea.
The Trump administration is planning to spend as much as $12 billion in aid to help farmers hurt by the administration’s tariffs. By acknowledging the need for aid to farmers, the Trump administration is admitting that its tariff strategy is hurting Americans. There are multiple reasons why providing aid to farmers to offset the effects…Daren Bakst -
- Opinion
Why Using Social Security for Paid Family Leave Is a Bad Idea
This year marks the first time in more than a quarter-century that Social Security has had to dip into its trust fund balance. Since its theoretical trust fund is really just a bunch of IOUs, that means the government will have to issue $85 billion in publicly held debt this year—and $1.5 trillion over the…Rachel Greszler -
- Opinion
88 Senators Agree Congress Must Have Role in New Tariffs
Article I of the Constitution states that Congress has the power “to regulate Commerce with foreign Nations,” but for decades members of this body have irresponsibly shirked that authority. That may be changing now. On Wednesday, 88 Senators expressed their support for the vital role of Congress in determining trade policy following months of new…Tori K. Smith -
- Opinion
US Tariffs Hurt Americans More Than Anyone Else
The Canadian government, lining the pockets of its dairy producers, imposes high tariffs on American dairy imports. That forces Canadians to pay higher prices for dairy products. For example, Canadians pay $5.24 for a 10.5-ounce block of cheddar. In Washington, D.C., that same amount of cheddar sells for $3.64. Canadians pay $3.99 for a 1-pound…Walter E. Williams -
- Opinion
Congress Wants to Do Even Less Budgeting. Here’s Why That Would Be Disastrous.
It shouldn’t surprise anyone that Congress is once again looking for more ways to avoid responsibility. On Wednesday, June 27, the Joint Select Committee on Budget and Appropriations Process Reform held a member day meeting that included testimony from Speaker of the House Paul Ryan, Minority Leader Nancy Pelosi, and other lawmakers. Center-stage at the…Romina Boccia -
- Opinion
Trump’s Fuel-Efficiency Reality Check Revs Up the American Economy
Despite rampant speculation that President Donald Trump’s trade policy might increase some car prices, how his regulatory relief agenda may lower sticker prices and increase safety goes largely ignored. How did this happen? The Trump administration is revising the Corporate Average Fuel Economy standards imposed on automakers during the Obama era. In particular, they are…Derrick Hollie