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
Will Burke Victory Mean a Higher Minimum Wage in Wisconsin? Not Necessarily.
MADISON, Wis. — If Democratic gubernatorial candidate Mary Burke defeats Republican Gov. Scott Walker on Tuesday, she’ll owe tremendous thanks to a union group fighting for an increase in the state minimum wage. But some political and legal experts say there’s no guarantee Wisconsin will see a higher minimum wage if Burke is elected. Although… -
news
This City Is Spending Big Bucks on Artsy Stop Signs
ST. PAUL, Minn. — St. Paul may be predictably progressive, but the powers at City Hall enthusiastically embrace the “1 percent.” The 1 percent, that is, of costs automatically taken off the top of local government construction projects, under a city ordinance mandating taxpayer-funded public art. Form counts as much as function in city infrastructure… -
news
Find Out How Your State Ranks When Measured by Unemployment
The U.S. Department of Labor recently released its latest report identifying state-by-state unemployment rates, based on current population data. In 31 states, unemployment rates among workers ages 15 and older declined between August and September 2014. Take a look at the numbers below to see how your state stacks up. STATE… -
opinion
Tunisians Bravely Embrace Democracy, Calling for Greater Economic Freedom
Holding a free and fair election without violence, Tunisia, the birthplace of the Arab Spring, has defied skeptics once again and continues its bottom-up democratic transition from despotism. On Sunday, October 26, Tunisians peacefully cast critical ballots in their country’s first full parliamentary election under the constitution they adopted early this year. With leading secular party Nidaa Tounes (Tunisia’s Call) surprisingly outperforming the moderate Islamist party Ennahda (Renaissance party), the 217 members voted… -
opinion
Top 7 Wackiest Examples of Wasteful Government Spending from Wastebook 2014
Rabbit massages, laughing classes, and watching the grass grow–these are just a few examples of where your tax dollars went this year. During a time when many families have made financial sacrifices to make ends meet, the federal government continues to spend. Washington politicians continue to claim their levels of spending are necessary and that… -
news
Lockheed Martin Director Explains Why Ending Export-Import Bank Could Benefit South Carolina
The embattled Export-Import Bank received a nine-month reprieve from Congress last month, but could ending it next year actually be a good thing for some states? When asked about the agency last week, Don Erickson, a site director for defense giant Lockheed Martin in South Carolina, first contended that financing from the Export-Import Bank creates… -
news
These 3 Charts Show What Different States Spend on Corporate Welfare
The federal government is not the only source of corporate welfare. According to Veronique de Rugy, a senior research fellow at the Mercatus Center at George Mason University, “corporate welfare is a significant problem at the state level.” De Rugy writes that state governments often use “generous, targeted subsidy packages” to lure corporations to relocate…. -
opinion
Economic Liberty and the Constitution
Recently, there has been a renewed interest in the question whether the Constitution protects individual economic activity without undue—some might say any—government regulation or interference. Various scholars have bemoaned the Supreme Court’s disdainful treatment of economic freedoms and its single-minded focus on one or another variation of the concept of ‘privacy’ as a predicate of… -
opinion
Want an Economic Boost? Let’s Kill the Death Tax
Death and taxes are two of life’s certainties, but the tax on death itself should certainly be eliminated. A recent analysis by The Heritage Foundation’s Center for Data Analysis found that doing away with the federal death tax would provide a much-needed, long-lasting boost to the nation’s economy. Indeed, it would increase economic growth by… -
news
State’s Welfare Recipients Withdraw Money in Far-Off Places (Hawaii, Las Vegas and Even Virgin Islands)
Taxpayers are apparently buying welfare recipients booze and cigarettes for the road—at times a quite exotic road. An analysis of a Colorado Department of Human Services welfare ATM withdrawals database shows that $3.8 million was withdrawn by Colorado welfare recipients outside the state in the past two years. There were withdrawals at out-of-state liquor stores… -
opinion
All About the Money: Why Government Spending and Debt Matter for Millennials
If you’re a millennial who recently returned to your college campus or started your first job, you probably haven’t paid much attention to the trillion-dollar spending measure Congress passed without much fanfare. And why should you have? How does it affect your life? Spending decisions made in Washington can seem abstract and irrelevant for what… -
news
Labor Unions Adopt Tactics They Once Criticized to Lobby for Living Wage Laws
MADISON, Wis.—Stand Up to ALEC and other affiliated left-leaning groups have spent years attacking the American Legislative Exchange Council for bringing together lawmakers and private-sector representatives to draft model state-level legislation. But those same groups have voiced no complaints when labor unions do the same. A number of “living wage” laws being passed across the country—including the… -
news
Mom-and-Pop Restaurants Feel Pinch of Minimum Wage Hike
LAWRENCEVILLE, N.J.—As far as Rob Pluta is concerned, New Jersey lawmakers who say they want to help restaurant workers by raising the state’s minimum wage for tipped employees have it all wrong. “This will cripple the restaurant industry," Rob Pluta says of New Jersey's minimum wage hike. If Trenton wants to help these workers, says… -
opinion
Lame Duck: A Slush Fund for Special Interests and Cronyism
“Experience has shown that this [lame-duck session] brings about a very undesirable legislative condition. . . . The result is a congested condition that brings about either no legislation or ill-considered legislation.” Much has changed since the Senate Judiciary Committee wrote those words in 1932, including the ratification of the 20th Amendment, which shortened the… -
opinion
New Treasury Measures Will Do Little to Stop Businesses From Fleeing U.S.
American companies are merging with foreign firms and relocating their headquarters to those foreign countries because our tax structure is uncompetitive. So what does the Treasury Department do? Yesterday, it released long-awaited measures to combat the practice of merging with foreign companies to avoid U.S. taxes — known as inversions — that will make it… -
news
Scott Walker Proposes Drug Testing for Those Filing for Unemployment Benefits, Food Stamps
MADISON, Wis. — Three years ago, Wisconsin Aluminum Foundry Co. Inc. was begging for workers and struggling to hire candidates who could simply pass a drug test. Good jobs, paying $15 to $20 per hour, went unfilled. The company even hesitated to expand because it could not find enough drug-free applicants. Times have changed. Company president Jim… -
news
Export-Import Bank Got Reprieve With No Assurances Its End Is in Sight
The House’s Republican leadership hasn’t made any promises that an embattled government bank won’t be saved again after an expected nine-month reprieve, a conservative lawmaker confirmed today. The Daily Signal asked Republican legislators attending the monthly Capitol Hill meeting of Conversations with Conservatives whether they had received any assurances from House leadership that yesterday’s nine-month… -
opinion
Ridiculous: How the Latest Spending Bill Is Just Congress Shirking Its Job (Again)
This week, a rare bipartisan majority in the House approved a $1.1 trillion stopgap spending measure that will keep the government funded through Dec. 11. The temporary measure, called a continuing resolution, likely will pass in the Senate today. Although the CR likely will be heralded as a successful bipartisan effort that avoided a government… -
news
Greenspan Joins Ranks of Opponents to Export-Import Bank
A longtime head of the Federal Reserve and prominent voice in economics has come out in opposition to a much more controversial government bank that is locked in a reauthorization fight. Alan Greenspan, who served as Federal Reserve chairman under four presidents, told The Hill that “as an economist” he doesn’t support reauthorization of the… -
opinion
Rhetorical Spin vs. Economic Reality
In his campaign-style speech on Labor Day, President Obama proclaimed that “by almost every measure, the American economy and American workers are better off than when I took office.” In stark contrast, many Americans, particularly likely voters in competitive U.S. House and Senate races, remain frustrated and gloomy about the state of the economy. According…