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While the Fed has pumped trillions into private banks via QE, banks have been loath to lend. While partly due to the rebuilding of bank capital and changing federal regulations, it’s also due to low rates. Making fixed rate loans…
The Friday File: While switching to compact fluorescent light bulbs saves households $150/year, three-tenths-of-one-percent of household income, that so few have switched suggests that households don’t like these bulbs or are ignorant of the savings. Rather than banning the sale…
The number of Americans receiving Supplemental Nutrition Assistance Program (SNAP), more commonly known as food stamps, fell from 47.665 million in August to 47.306 million in September, a decline of 0.75%, the biggest decline on record. In FY 2013, the…
By perfectly calibrating his message, this time, Bernanke was able to taper yet see equities climb by 1.75% and bond prices barely budge. Quite a difference from this past May. By combining tapering with a commitment to keep short-term rates…
While 43% of the population pay no federal income taxes, down from 47% in 2010, two-thirds of that 43% pay payroll taxes, leaving just 14.4% of the population that pay no federal income or payroll taxes. Of those, two-thirds are…
During October and November 2013 the federal deficit was $231 billion, $61 billion better than a year earlier. Receipts were up by $34 billion to $380 billion and outlays were down by $27 billion. At this rate, the deficit for…
The Friday File: After controlling for numerous social-economic variables, studies in the US, UK and Denmark find that IQ at 16 is positively correlated with how much and how often you’ll drink alcohol throughout your life. While academics offer no…
The Ukrainians want to economically escape from Russia and without controlling Ukraine, Russia is no empire. Thus keeping Ukraine from Russia must be a strategic western objective. Making it easy, Ukrainian finances are a shambles and a balance-of-payments crisis will…
The recent budget deal which reduces fiscal drag, along with improving employment numbers, the likelihood of faster growth in 2014 and the fact that long-term rates have adjusted to the idea that tapering will soon start, makes me peg the…
The budget deal Senator Murray (D-WA) and Representative Ryan (R-WI) have crafted will reduce sequestration effects by 37% and allow agencies to determine how to implement the remaining 63%. The new policies are evenly split between fees and spending cuts…