Good News and Bad News about GDP Growth

Only 0.8 percent of the growth came from actual sales of goods and services. The other 2 percent came from businesses building up their inventories. What does that mean? Here are two possible interpretations

Over-Saving Caused the Economic Crisis

As the United States struggles to revive its stagnated economy, James Livingston defies conventional wisdom about saving and economic growth

To Spur Economy, United States Must Reform Legal Immigration

The immigration debate tends to focus on illegal entry and border security; however, reforming the process for legal immigration is of vital importance to the country's economy

Immobility Nation

For most in the United States, the concept of America as the land of opportunity is just a fable

United States 'Saudi Arabia of Natural Gas'

President Obama called America the 'Saudi Arabia of natural gas' and said the country should start using natural gas to power more cars and trucks

Will Gas Prices Grow to $5 a Gallon?

Buzz about the possibility of gas costing $5 a gallon this summer caused quite a stir recently, but could prices really spike that high come June?

Fed Opens Up on Interest Rate, Inflation Predictions

The Federal Reserve won't be changing interest rates anytime soon, but it is changing its policy on how it talks about its interest rate policy

GDP Growth Fastest Since Early 2010

GDP growth has sped slightly, but recovery could remain slow, prolonged

Obama to Save Economy With More Tourist Visas?

President Obama's plans would make it easier for Brazilian and Chinese visitors to get tourist visas

Will Obama's Mortgage Refinance Plan Be D.O.A.?

President Obama unveiled an ambitious mortgage refinancing program during his State of the Union speech, but some experts say the new plan is a whole lot of politics without much policy to back it up

Top 5 Global Risks for 2012

As if we didn't have enough to worry about, a new report has given us more catastrophic events to fret about. The risks the World Economic Forum outlines aren't that far-fetched

What's in Store for Jobs in 2012?

Jobs are being created at an average of 130,000 a month, barely enough to keep up with population growth. Will the country make any headway in 2012? Here are 5 things to expect from the U.S. job market in the next 12 months

Our Challenge for 2012: Get Americans Working

2011 will be remembered as the year Americans woke up to the harm that growing disparities in wealth and income have done to our society and our economy

The Rebirth of Social Darwinism

Listen carefully to the Republican debates and you get a view of the kind of society many Republicans seek. The last time we had it was in the Gilded Age of the late 19th century

Homegrown Obstacles to the Economic Recovery

There's no doubt that a turn for the worst in Europe would have negative effects here in the United States. But that isn't the only reason Americans should be concerned. Here are three internal factors that threaten to undermine our modest recovery

Does Extending Jobless Benefits Help the Economy?

Extending unemployment benefits helps the economy and reduces unemployment. Many economists agree with that proposition -- but many also question it

Men Continue To Fare Badly in This Economy

The population of 'disadvantaged men' is growing. Here's why everyone -- women included -- should care

Public Blames Congress, Not Obama, For Sour Economy

Congress gets virtually all of the public's scorn for the sour economy and Washington gridlock

Restore the Basic Bargain

For most of the last century, the basic bargain at the heart of the American economy was that employers paid their workers enough to buy what American employers were selling. That basic bargain created a virtuous cycle of higher living standards, more jobs and better wages

5 Reasons the Economy Will Be Better in 2012

According to most economists, the outlook for the U.S. economy is a mixed bag, but there are some definite bright spots. Here are five reasons the economy could look slightly better in 2012

H-1B Workers in a State of Indentured Servitude

Our current high-skill immigration policy does more harm than good. To meet the needs of both the U.S. economy and American workers, the H-1B and L-1 guest worker programs require immediate and substantial overhaul

Abuse of the H-1B Visa Program Is Widespread

The H-1B work visa program should be reduced in scope, not expanded, as the program is fundamentally about cheap labor

H-1B Visas a Symptom of Special-Interest Influence

The largest users of H-1B visas are foreign offshoring companies. They use H-1B visas to provide on-site support for projected moved to other countries. In that model, each H-1B worker here is a proxy for even more jobs lost

More Green Cards, Not H-1B Visas, Is the Real Fix

'Should H-1B visas be easier to get?' It's the wrong question.

A Main Street Jobs Agenda

Most Americans are now waking up from the bruising battles of a failed congressional 'supercommittee' with a giant hangover. The hangover results from the lack of clear answers to the most important question facing most of us: Where are the jobs that our children, our communities, and our nation so desperately need?

Who Says Wall Street Isn't Hurting?

You may be surprised to learn which industry has announced the most layoffs so far this year: finance

Road Map to a Housing Rebound

What needs to happen for the housing market to heal

Housing Prices Drop Back to 2003 Levels

National home prices declined by 3.9 percent during the third quarter, which was a larger decrease than expected but still less than the 5.8 percent drop posted in the second quarter

A Strong Recovery Remains Elusive

Congress should enact a range of policies that expand the payroll tax cuts

An Economic Loser in the Long Run

There has been more than the usual amount of rhetoric, noise, and confusion regarding the Senate Democrats' bill that pairs a payroll tax holiday with a permanent surtax on millionaires. It is essentially the 2012 version of cash for clunkers

We Are Creating a Dependency on H-1B Workers

Of late, we have become dependent on other nations to supply workers to fill jobs in the fields on which we have staked our economic future: science, technology, engineering, and mathematics

Unfilled Positions Reduce Productivity

The H-1B visa should be made easier to get, but it should also be reformed so that American workers are protected and our country is able to attract the types of employees we need to grow our economy

H-1Bs Are Simply Too Difficult to Get

The 65,000 annual allotment of H-1B visas is woefully inadequate, and it has been exhausted every year since 2004, often within days

Most Immigrants Create Jobs

The race is to attract skilled workers, particularly scientists, engineers, and IT technicians

We Need to Focus on the 99 Percent

Extending and expanding the payroll tax cut will directly help working families while boosting our economy overall

A More Permanent Solution Is Needed

Payroll taxes for working Americans have been reduced by 2 percentage points, putting about $1,000 extra in the pocket of typical household. If Congress does not act by year's end, the full payroll tax of 6.2 percent will be restored to everyone's paychecks, increasing taxes on 160 million Americans

Keynesian Policies Have Failed

Lawmakers are considering extending temporary payroll tax cuts. But the policy is based on faulty Keynesian theories and misplaced confidence in the government's ability to micromanage short-run growth

Many Time-limited Tax Breaks Never Die

The U.S. economy remains vulnerable, and with new spending off the table, the only road to fiscal stimulus is through the tax code

Extending Payroll Tax Cut Will Extend U.S. Debt

Not all tax cuts are created equal. The payroll tax is an example of exactly why that is the case

What Happens If We End the Fed?

Whatever view one takes, ending the Fed is a goal much more easily stated than accomplished. But if Fed bashers got their wish, here are a few snapshots of how the country might change

Occupy the Budget

Sarah Anderson suggests concrete steps toward a more balanced budget that would make the U.S. economy healthier, more equitable, and sustainable and rein in runaway military spending

Unemployment Benefits Extension an Economic Booster

New estimates from the nonpartisan Congressional Budget Office suggest that increasing aid to the unemployed could be the best policy for near-term job creation in the United States. Tax breaks for businesses and infrastructure spending, meanwhile, are not likely to boost short-term growth

Are Employers to Blame for the Skills Gap?

The number of job openings has increased 38 percent since the end of the recession in June 2009. Labor economists say a skills gap is partly to blame. Employers in numerous surveys have said they're having trouble finding applicants who fit the requirements for open positions

Drop in Jobless Claims Adds to Optimism About Broader Recovery

Jobless claims fall again, and holiday spending could increase. Is the recovery strengthening?

Larger Temporary Workforce Could Be New Normal

The fastest-growing sector of the labor market since the end of the recession says a lot about the type of sluggish recovery the economy is experiencing

Americans Not Moving Around Like They Used To

With most states facing similar economic headwinds, Americans had little incentive to move around to improve their financial situations

Home Sales Up But Financing Issues Block Bigger Growth

Existing home sales rose steadily in October, but contract failures stunted those numbers, underscoring continuing problems with mortgage applications and unemployment

FHA Loan Limits Get Boost, but Will It Help Housing Market?

Loan ceiling increased, but will it spur the housing market or simply get the government in deeper?

Is the National Security Complex Too Big to Fail?

The National Security Complex is forever (at least as its managers see it). Despite modest rumblings in Washington about the Pentagon and intelligence budgets and the deficit, it's not just considered too big to fail, but generally too big to question, and too deeply embedded to think much about

Seniors and the Deficit: Why working longer isn't part of the solution

Are older workers really faring better in this recession-wracked job market?

The Coming Collision

The biggest question in America these days is how to revive the economy. The biggest question among activists is how to strike back against the nation's almost unprecedented concentration of income, wealth and political power in the top 1 percent. The two questions are related

A Fair Tax That Really Is One

If a store in town has to collect the sales tax, so should online companies

Can Foreign Buyers Save the U.S. Housing Market?

Ultra-low and declining home prices are a headache for homeowners, but they might also be the key to healing the housing market as foreign investors snap up real estate bargains in the United States

GDP Up: Will Recession Fear Fade as Economy Shows Signs of Life?

While no one is arguing the economy is in tip-top shape, a slew of recent data shows encouraging progress and support for the argument that although weak growth might be in the future, a double-dip recession most likely isn't. Here are a few reasons why things might be looking up for the U.S. economy

Measuring Economic Progress

Maryland's government is embracing an alternative way to monitor the state's wellbeing called the Genuine Progress Indicator, which brings depth to the analysis of the state's economic growth

Great Recession Means a Diminished American Dream for Young Adults

It is unclear exactly how long it will take for the U.S. economy to recover, but it appears certain that the healing will be long and slow, potentially lasting more than a decade

Are Things Looking Up for the Housing Market?

For-sale home inventories are dropping nationally while median sales prices are rising, according to new data released, a rare but encouraging sign of renewed optimism in America's feeble housing market

Good News in Housing Starts, But No Turnaround

Builders broke ground on slightly fewer homes in October, but permits -- a leading indicator for future construction -- increased almost 11 percent from September to their highest level since March 2010. Sounds encouraging for the languishing housing market, right? It is to some extent, but dig a little deeper and a more complex picture emerges

Middle-Class Neighborhoods Disappearing

America's increasing income inequality has become a prominent storyline in recent months. Now, a new report shows that as the rich get richer and the poor get poorer, they are also physically distancing themselves from each other.

America's Real Poverty Rate

If the United States were to update the way we measure poverty, we'd find that about 28 percent of American families of four are now living in poverty

Luck Matters

I support higher taxes for me and for people like me. Taxes are a way of evening out the blind fortune that plays such a central role in all our lives. Because luck runs both ways -- as has become especially clear during this Great Recession

Major Economies Headed for Slowdown

A top European economic think-tank is predicting that the world's largest economies -- and several large developing ones -- are heading for anemic growth and continued fiscal malaise

Top Democratic Governor Accuses Republicans of Neglecting Economy

Voters in 2012 will have a clear choice, as Maryland Gov. Martin O'Malley sees it. They can support Republicans, who have pursued what he called 'impractical and extreme, right-wing ideology' or Democrats, who have balanced budgets and created modest job growth

Deficit Is Greatest Security Threat

Further cuts to defense spending probably are necessary, both politically and arithmetically, to make substantial progress toward eliminating deficit spending and reducing our federal debt. Our indebtedness is the greatest national security vulnerability America has

An Idea Dysfunctional Washington More Than Happy to Let Die

A perfect example of a sensible, widely praised idea that has nevertheless gone nowhere is Right-to-Rent

Dear Average American: It's All Your Fault

Congratulations, average American! It's your turn to be blamed for President Obama's -- and America's -- problems. Being the root cause of our dire national predicament puts you in some very august company indeed

America's Growing Income Gap by the Numbers

The nonpartisan Congressional Budget Office recently released a much-discussed study showing that over the past three decades the income of the highest-paid Americans has soared while the income of others has grown much more modestly. Here's a rundown of some statistics illustrating the growing income gap

Wall Street Is Back to Its Old Tricks

After the banks made wildly risky bets with our money, we bailed them out. Congress enacted financial reform (the Dodd-Frank law). But Wall Street lobbyists immediately set about diluting it, along with its regulations. Dodd-Frank is now riddled with so many exemptions and loopholes that the largest banks are back to many of their old tricks

Consumers Spooked, But Still Spending (For Now)

On the one hand, consumer confidence nose-dived in October to the lowest level since March 2009 underscoring that Americans are bummed out about the economy and their financial futures. On the other hand, that pessimism hasn't kept them from hitting the mall

The Ranks of the Underemployed Continue to Grow

While the number of unemployed workers has held steady at around 14 million in recent months, another telling measure of frustration in the labor market -- the number of underemployed individuals -- rose for a third consecutive month

Cutting Back on Defense Spending Will Make the World Safer

We have a once-in-a-lifetime opportunity to switch spending for defense to more sensible priorities while optimizing educational, public infrastructure, and environmental needs. Except for a few politically necessary expendables, however, the military-industrial complex will prevent what should be a slam dunk obvious answer

It Is Time for Discipline, Defense

It is time to discipline defense, along with the rest of the federal budget, and target tax and spending policies for an economic recovery. The defense budget has more than doubled over the past decade

Defense Spending Not to Blame for Deficit

Cutting defense spending is not necessary to reduce the federal budget deficit and the national debt. Focusing on defense ignores the central causes of growing deficits and debt: lower tax revenues and expanding entitlement programs

Military Already Underfunded Thanks to Obama

Defense budget cuts are being implemented now. They've been going on for the past two years, and many more are planed in the near future

Cutting Defense Spending Is Short-sighted

Not only are U.S. military leaders facing monumental budget challenges backed by minimal strategic guidance, they face shrinking forces armed with aging equipment that often fails to meet basic readiness standards

Reasonable Ways to Cut Defense Budget

The defense budget should and can be reduced significantly without harming national security. In fact, a sensible reduction will actually increase national security

Cutting Military Spending Does Not Mean Cutting Defense

When asked about my intention to cut the U.S. defense budget, I am always quick to clarify that I want to cut military spending, not defense

Cuts to Defense Budget Might Be Inevitable But Pentagon Knows Best

As long as elected leaders continue down this doomed path, cuts to the defense budget are inevitable

7-in-10 Blame Economy for Hiring Freeze

The economy is so bad that 77 percent of small business owners do not plan to hire any more workers despite all of Washington's hype that the business climate is getting better

Grim Warnings for the Deficit 'Super Committee'

Bipartisan budget experts urge the super committee to look at revenues and think big. Will they?

Consequences of a Debt Committee Stuck in Neutral

The debt 'super committee' continues to work here in Washington. But with a November 23 deadline to cut $1.5 trillion in spending just weeks away, it's not clear if this work is yielding any results

Is the Rising Star of U.S. Manufacturing Fading?

Once the darling of the 'recovery,' manufacturing faces challenges as the global economy slows

The Recession's Impact on Baby Boomer Retirement

The recession has severely limited the retirement prospects of the oldest baby boomers. Some older adults will have to work longer to try to recoup their stock market losses and falling home values, but others have already been forced into retirement earlier than planned and are struggling to adapt to a lower standard of living

Inflation Could Help Flagging Economy

Accusations that the Fed is overstepping its mandate generally imply that it is underweighting the imperative to keep inflation low in favor of trying to lower today's stubbornly high unemployment. This accusation is profoundly misplaced, for three reasons

Home Economics

Part of America's continuing economic woes is that we are ignoring the wisdom of good mothers. Powerful banks have been bailed out, but nothing has been done for millions of homeowners in trouble. The result is weakening the entire economy

Skills Gap Plagues American Manufacturing Industry

Because of a lack of qualified applicants, as many as 600,000 manufacturing jobs remain unfilled