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
The Constitutional Amendment That Would Rein in Spending
Some people have called for a balanced budget amendment to our Constitution as a means of reining in a big-spending Congress. That’s a misguided vision, for the simple reason that in any real economic sense, as opposed to an accounting sense, the federal budget is always balanced. The value of what we produced in 2017—our… -
news
Rep. Jim Jordan Makes the Case for Welfare Reform
Rep. Jim Jordan said he hopes Congress will reform welfare spending and believes people should have to work for their taxpayer subsidies. CNN’s “New Day” host Chris Cuomo challenged Jordan, R-Ohio, during a Wednesday interview, and said President Donald Trump wasn’t interested in tackling welfare reform. “We’ve talked to the president actually about welfare reform, and he… -
news
Michigan Approves $360 in Weekly Unemployment to a German Shepherd
A Michigan dog owner was surprised to find out that the state approved his German shepherd for weekly unemployment benefits. The Michigan Unemployment Insurance Agency sent a letter to lawyer Michael Haddock saying that a Michael Ryder was approved to receive $360 a week in unemployment, reports ABC News. The only problem is that Ryder is Haddock’s… -
opinion
5 Principles the New House Budget Committee Chairman Should Follow in the 2019 Budget
Rep. Steve Womack of Arkansas was chosen last month to replace a fellow Republican, Rep. Diane Black of Tennessee, as chairman of the House Budget Committee. With fiscal 2018 appropriations yet to be finalized, Womack finds himself in an uncertain position. If a deal is reached to raise the Budget Control Act caps for 2019, some… -
opinion
To Promote Human Flourishing, Economic Freedom Must Be Increased
We live in a Golden Age of economic progress. People living today enjoy long lives, good health, and high standards of living unimagined just a few generations ago. Billions of people around the world have escaped poverty. Things we take for granted—antibiotics, the iPhone, air travel—would have seemed like magic to our great-grandparents. These blessings… -
opinion
5 Ways Trump’s New Tariffs Will Hurt Americans
On Jan. 23, President Donald Trump signed two proclamations imposing tariffs and quotas on imports of solar cells and modules, large residential washers, and washer parts. Solar cells and modules will see a tariff of 30 percent after the first 2.5 gigawatts. Washers will be tariffed at 20 percent for the first 1.2 million units,… -
news
In US and Across the Globe, Record Numbers of CEOs Are Optimistic About Economy
A record number of CEOs are optimistic about the the U.S. and global economies, thanks in part to the tax cuts President Donald Trump signed into law Dec. 22, according to consulting firm PwC’s new annual survey. The Tax Cuts and Jobs Act lowered the U.S. corporate tax rate to 21 percent from 35 percent…. -
opinion
3 Reasons Trump Should Pull the Plug on Solar Tariffs
An expansive trade case has simmered on the back burner since April 2017 and is now finally on its way to President Donald Trump’s desk for a decision by Jan. 26. The case involves two failing manufacturing companies—Suniva and SolarWorld—which have petitioned the government for globally applicable tariffs on inexpensive imports of solar cells and… -
news
Unemployment Claims Drop to Lowest Number in 45 Years
The total number of workers claiming unemployment insurance fell to the lowest level in 45 years, the Department of Labor reported Thursday. In the first two weeks of 2018, the number of applications claiming unemployment insurance benefits dropped by 41,000 to 220,000, the lowest recorded number since Feb. 24, 1973, when the number was 218,000,… -
opinion
Why Congress Needs to Reform Disaster Relief Spending
In the coming weeks, Congress is set to vote on a spending bill that will include funding for federal disaster relief. Following a year of intense hurricanes and record-breaking wildfires, the congressional desire to continue the trend of expanding the Federal Emergency Management Agency to provide the bulk of relief funds to states affected by… -
news
Wal-Mart Announces Higher Minimum Wage and Bonuses, Citing Trump Tax Cuts
Wal-Mart announced Thursday it will raise its starting wage to $11 per hour and will give employees a bonus of up to $1,000, crediting the tax cuts signed into law Dec. 22 by President Donald Trump. Wal-Mart President and CEO Doug McMillon said in a statement the retail giant was “pleased” to announce the wage… -
opinion
New Short-Term Spending Bill Would Continue to Hamper the Military
Lawmakers are discussing the possibility of passing yet another continuing resolution on Jan. 19 to keep the government from shutting down. If another continuing resolution comes to fruition, it will be the fourth one since the fiscal year started back on Oct. 1. As of now, we have already passed more than one-quarter of the… -
opinion
7 Ways Congress Can Rein in Out-of-Control Spending
Congress achieved major success in 2017 by passing the first meaningful tax reform in decades, but fell short in other areas of the budget and spending. This year, important issues loom, including defense and nondefense appropriations for the remainder of the year, the debt limit, an infrastructure plan, and health care and entitlement reforms, among… -
news
Black Unemployment at Lowest Rate on Record
In Friday’s jobs report, black unemployment reached a record low: 6.8 percent. That’s the lowest black unemployment has been since the Bureau of Labor Statistics began tracking unemployment, which started in 1972. “The lowest in nearly 5 decades and a credit to [President Donald Trump’s] economic policies!!” tweeted White House deputy press secretary Raj Shah…. -
opinion
5 Ways Congress Fell Short in Spending Your Money in 2017
As 2017 comes to a close, it’s worth remembering that America’s mountain of debt continues to grow. Here are five key facts about federal spending in 2017 to remember: 1. The deficit reached $666 billion. By many, 666 is known as the number of the beast in the Book of Revelation in the New Testament…. -
opinion
Private Capital, Not Crony Government Housing Trust Funds, Should Finance Housing Markets
Recently, the House Financial Services Committee marked up a bill that would prevent Fannie Mae and Freddie Mac, under certain financial conditions, from funding two affordable housing trust funds created by the Housing and Economic Recovery Act of 2008. Through that law, Congress authorized the Federal Housing Finance Agency to direct Fannie Mae and Freddie… -
opinion
The Economic Impact of the Tax Cuts and Jobs Act
The Tax Cuts and Jobs Act, which is expected to be signed into law today, would reform the tax code by lowering federal marginal rates for most households, corporations, and small businesses. We have revised our previous estimates of the House and Senate versions of the bill to reflect changes made by the conference committee…. -
opinion
How Tariffs and Regressive Trade Policies Hurt the Poor
With round 5 of NAFTA negotiations behind us, Americans can begin to look forward to round 6 in Montreal in the second half of January. While all Americans stand to benefit from free trade, we must not lose sight of who has the most to lose. Tariffs are just taxes on Americans by another name. However,… -
opinion
Student Debt Is a Symptom of Our Broken Education System. This Bill Would Spark a Change.
We are facing an education crisis in this country. While the value of continued education after high school is undeniable, our nation’s singular focus remains on the necessity of traditional four-year degrees, which come at a soaring cost to students and their families. For many students, a classic bachelor’s degree earned at a brick-and-ivy university… -
news
Fewer Blacks, Hispanics Go Jobless Under Trump
More black and Hispanic Americans are getting jobs on President Donald Trump’s watch, the latest employment numbers show, although critics accuse him of ignoring such minority populations. The White House, not surprisingly, is happy to tout the results. Unemployment among blacks declined from 8 percent one year ago to 7.3 percent in November, according to…