Econ70
Federal government spending has steadily increased from 14% of GDP in 1950 to about 25% today. Because of this, legislators and bureaucrats are increasingly lobbied in an effort to have them bestow government largess on one group or another. Unfortunately,…
Read MoreRecently there’s been talk of currency wars. If a nation prints money to lower interest rates to promote growth and happens to weaken its currency, it’s OK. But if a country prints money to lower interest rates to weaken its…
Read MoreDespite having 26% of the US Market, the American Airlines-US Airways merger will proceed. That said, it will mean higher fares between smaller cities, reduced service on unprofitable routes and possibly fewer hubs. The key to minimizing harm to consumers…
Read MoreAmericans will spend $19 billion on Valentine’s Day gifts — $60/person. 56% will be spent on a romantic partner, 20% on family, 7% on friends, 5% on teachers and 4% each on; co-workers, others, and pets! That’s $750 million on…
Read MoreThe federal deficit peaked at 10.1% of GDP in 2009, and fell to 6.94% of GDP by 2012. The CBO projects that it will fall to $845 billion or 5.3% this year. And, if no policy changes are made, the…
Read MoreNew Japanese Prime Mister Shinzo Abe has pushed the Yen down 15% against the dollar since 10/12 because of his insistence that the Bank of Japan create inflation by pumping more money into the economy. Moreover, the new Abe appointed…
Read MoreDecent Week in Review: Consumer credit expanded fueled by long-term student (yikes) and auto loans, the service sector continued to expand at a steady if uninspired rate, while manufacturing activity jumped to its highest level since 05/12. The best news,…
Read MoreThe Friday File: In an effort to lick billions in losses, the USPS plans to halt Saturday delivery of letters in 8/13. Mail volume has plummeted from 210 billion pieces in 2008 to just 160 billion in 2012, a decline…
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