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
A New, Easy Way to Track Your Representative on Spending
Americans who are concerned about unsustainable and reckless government spending have faced a fundamental problem: It’s hard to track what their representatives are doing to either curb, or increase, spending. But thanks to a new tracking tool, those days may be coming to a close. The Coalition to Reduce Spending has just released a tool…Jonathan Iwaskiw -
- Opinion
This Iconic American Populist Shows What ‘America First’ Trade Policy Should Look Like
The Oxford dictionary defines populism as support for the concerns of ordinary people. The Trump administration has been described as populist in many ways, particularly with its embrace of “America first” trade policies. A look at history shows how such populist policies can put America’s interests first when it comes to international trade. In the…Bryan Riley -
- Opinion
Transportation Reforms Take to the Fast Lane in Trump Budget
Following on his pledge to eliminate wasteful and inappropriate federal programs, President Donald Trump’s budget blueprint delivers when it comes to the Department of Transportation. Trump’s budget blueprint shears the Department of Transportation’s discretionary budget by $2.4 billion—some 13 percent—by slashing some of its most egregious programs. Although most of the department’s funding is classified as…Michael Sargent -
- News
Freedom Caucus Members Stress Importance of Entitlement Reform
Several members of the House Freedom Caucus shared their concern for the future of entitlement reform, emphasizing disappointment that it was not a part of President Donald Trump’s newly released budget. Reps. Raúl Labrador, R-Idaho; Mark Meadows, R-N.C.; and Louie Gohmert, R-Texas; expressed support for entitlement reform at a monthly Capitol Hill gathering. Trump’s budget…James Rogers -
- Opinion
Trump’s ‘Skinny’ Budget Paves Way for a Leaner Government
President Donald Trump’s long-awaited skinny budget is finally here. This slim budget reprioritizes defense spending and reverses eight years of Obama-era shifts in spending from a core constitutional priority toward the president’s domestic pet projects. Federal agencies, beware: The era of fiscal profligacy may be coming to an end, and quickly. Trump’s first budget plays…Romina Boccia -
- Opinion
Strong Jobs Report an Encouraging Sign for US Economy
The Bureau of Labor Statistics just announced the U.S. economy created 235,000 jobs in February, slightly higher than most experts expected and much higher than President Barack Obama’s 187,000 average in 2016. But while the unemployment rate remained at a low 4.7 percent, the labor force participation rate, which measures the number of people leaving…Timothy Doescher -
- News
Economist Walter Williams Wins 2017 Bradley Prize for Free Market Advocacy
Walter E. Williams, an economist and professor at George Mason University, is one of four recipients to be awarded the 2017 Bradley Prize, an award given out annually by the Lynde and Harry Bradley Foundation. The $250,000 award, given to up to four distinguished individuals each year, “recognize[s] individuals of extraordinary talent and dedication,” whose…James Rogers -
- Opinion
New Poll Shows Americans Think Defense Spending Too Low, Military Too Weak
In 1990, with the fall of the Soviet Union and following eight years of military buildup under President Ronald Reagan, the American people seemed to agree: The United States was spending enough on the military. Fast forward to 2017, and it’s obvious that sentiment has gone the way of the dinosaurs. A Gallup poll released…John Cooper -
- Opinion
Don’t Blame the Trade Deficit for America’s Economic Problems
A new report from the United States trade representative links America’s trade deficit with other countries to trade deals entered into going back to the Reagan administration. Those deal include the North American Free Trade Agreement, the Uruguay Round Agreements that created the World Trade Organization, China’s 2001 Protocol of Accession to the World Trade…Patrick Tyrrell -
- Opinion
Ecuador Rejects Leftist Incumbent, Votes for Economic Freedom
Last weekend, Ecuadoreans did something they haven’t done since 2006: They voted in significant numbers against the socialist Alianza Pais party of three-term leftist President Rafael Correa. After a suspiciously delayed ballot count, electoral authorities finally certified on Feb. 23 that more than 60 percent of Ecuadoreans voted for a candidate other than Correa’s hand-picked…James M. Roberts -
- Opinion
Michael Novak, Friend of Economic Freedom
The news of Michael Novak’s death Feb. 17 saddened close friends and colleagues in the community of think tank scholars who drew so much from his writings and lectures. Novak’s perspectives expanded our conceptual grasp of economic liberty beyond dry formulas to include a more complete picture of the creative, human, and virtuous nature of…James M. Roberts -
- News
In 1 Chart, What Your Favorite Fast-Food Items Would Cost With $15 Minimum Wage
For Americans hitting the drive-thru at their local McDonald’s, a $15-an-hour minimum wage could hit them in their wallets. According to a January report released by James Sherk, a former research fellow in labor economics at The Heritage Foundation, fast-food prices would rise by 38 percent under a $15-an-hour minimum wage and cause a 36…Melissa Quinn -
- News
Senate Confirms Mick Mulvaney as OMB Director
The Senate voted 51-49 Thursday to confirm Rep. Mick Mulvaney, R-S.C., who will be tasked with addressing the nation’s $20 trillion in national debt, as director of the Office of Management and Budget. Mulvaney, a Republican representing South Carolina’s 5th Congressional District in the House since 2011, will be responsible for directing the budget process…Rachel del Guidice -
- News
Trump Picks Alexander Acosta as Labor Secretary
President Donald Trump picked R. Alexander Acosta to lead the Department of Labor Thursday, just one day after CKE Restaurants CEO Andy Puzder withdrew his name from consideration. Acosta is a former federal prosecutor and the dean of the Florida International University College of Law in Miami. “After careful consideration and discussions with my family, I…Ted Goodman -
- Opinion
US Economic Freedom Has Hit a Historic Low. What Happened?
It’s already been eight years since the Great Recession, yet the U.S. economy has been just inching along, with its productivity flagging and millions being locked out of the labor market. One critical underlying factor for this lack of economic dynamism has been the startling decline of America’s economic freedom, an unfortunate legacy of Barack…Anthony B. Kim -
- News
Trump’s Acting Treasury Secretary, an Obama Holdover, Helped Craft Iran Nuclear Deal
As President Donald Trump’s nominee for treasury secretary continues to wait for Senate confirmation, an architect of the Obama administration’s Iran nuclear deal is currently running the agency. “Once Iran came to the table, we reached a strong, comprehensive deal,” Adam Szubin says. Acting Treasury Secretary Adam Szubin—who had been a career department employee—previously served…Fred Lucas -
- Opinion
Your Chicken Sandwich Costs More With a $15 Minimum Wage
Progressives are touting a $15 minimum wage as a low-cost policy to reduce poverty and income inequality. However, the costs of a high minimum wage are higher than its proponents would like to believe. In a recent Heritage Foundation backgrounder, James Sherk outlined the costs to consumers of a $15 minimum wage and took issue…Nicholas Poché -
- Opinion
The Racist Roots of Minimum Wage Laws
There is little question in most academic research that increases in the minimum wage lead to increases in unemployment. The debatable issue is the magnitude of the increase. An issue not often included in minimum wage debates is the substitution effects of minimum wage increases. The substitution effect might explain why Business for a Fair…Walter E. Williams -
- Opinion
This Woman’s Minimum Wage Story Shows the Left’s Troubling Mindset
JoAnn Wise thinks she wasn’t treated well. In an op-ed published Tuesday by The Washington Post, Wise writes, “I already know what Trump/Puzder economics look like because I’m living it every day. Despite giving everything I had to [labor secretary pick Andy] Puzder’s company for 21 years, I left without a penny of savings, with no…Katrina Trinko -
- Opinion
Congressional Ban on Earmarks Hasn’t Stopped Pork-Barrel Spending
When members of Congress defend earmarks with “power of the purse” rhetoric, don’t fall for it. Congressional earmarks threaten the integrity of government spending. This January, Senate Republicans led by Arizona Sen. Jeff Flake voted to continue the moratorium on earmarks for the 115th Congress. Flake backed his sentiment with a witty comment that “you…Jonathan Iwaskiw