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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news
School Forced to Cut More Than 20 Classes in Order to Pay Labor Union
The University of Massachusetts, Boston is cutting more than 20 summer courses as the school desperately attempts to manage a $30 million operating deficit that is due in part to a project labor agreement that requires unions to be the “sole and exclusive” source of job-site labor. The university has been plagued by controversy, ranging from… -
news
How States Are Trying to Force Federal Government to Control Spending
Georgia state Rep. Paulette Rakestraw helped lead her state to be the first to join a formal interstate compact to push the federal government to balance the budget since she doesn’t believe the federal government will fix its own fiscal mess. “The problem in Washington is the structure, you can replace everyone there and it’s… -
opinion
How Free Trade and Economic Freedom Help the Poor
Today, many people argue that trade disproportionately hurts poor Americans. They say free trade creates a wage gap between low- and high-income earners, and constructs barriers that make it increasingly difficult for the less fortunate to climb the economic ladder. But recent data from The Heritage Foundation shows that this simply is not true. The… -
news
What’s at Stake in the Coming 4-Day Spending Fight
When Congress returns from its Easter recess April 24, lawmakers will have only four legislative days left to decide on a spending plan that prevents a government shutdown. With such a narrow window, the House and Senate will have little choice but to pass a huge, omnibus spending bill and again put off a return… -
news
OMB Director Set to Tell Agencies to Prep for Substantial Cuts
Office of Management and Budget Director Mick Mulvaney is reportedly slated to send a letter to federal agencies later this week warning them to prep for substantial budget cuts. The guidance letter falls in line with President Donald Trump’s March 13 executive order aimed at making the government leaner and more efficient, Axios first reported. The order… -
opinion
Weak March Jobs Report Shows Need for More Reforms in Washington
Friday’s jobs report announced that businesses created 98,000 jobs, underperforming expert predictions, and showing the weakest gains in almost a year. It appears that the “Trump bump,” based on confidence from President Donald Trump’s election, has subsided as job creators await Washington’s next concrete steps on taxes or trade. On the positive side, the jobs report… -
opinion
Economic Freedom the Biggest Loser in Ecuador’s Election
Last Sunday, economic freedom and sound governance took a hit in Ecuador. Lenín Moreno, the nation’s former vice president and socialist candidate, won by a narrow margin amid widespread charges of electoral fraud. The outcome all but secures a fourth consecutive term for outgoing President Rafael Correa’s socialist Alianza Pais party. Ecuadorian law prevented Correa… -
opinion
Latest CBO Projections Emphasize Immediate Need for a Conservative Budget
America must kick its addiction to spending before it becomes an insurmountable crisis. On Thursday, the Congressional Budget Office released its “2017 Long-Term Budget Outlook,” which lays out budget and economic projections for the next 30 years. The report shows that time to fix the nation’s skyrocketing debt levels is running out and Congress must… -
opinion
The Truth About the Economic Impact of North Carolina’s ‘Bathroom Bill’
When then-North Carolina Gov. Pat McCrory signed H.B. 2, the Public Facilities Privacy and Security Act (commonly known as the “bathroom bill”), into law on March 23, 2016, critics argued that corporate backlash against the measure would cost North Carolina dearly. Now, more than a year later, the Associated Press has provided an updated estimate… -
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… -
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… -
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… -
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… -
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… -
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… -
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… -
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… -
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… -
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… -
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…