Posts Tagged ‘economy’
The U.S. welfare system sure creates some crazy disincentives to working your way up the ladder. Benefits stacked upon benefits can mean it is financially better, at least in the short term, to stay at a lower-paying jobs rather than taking a higher paying job and losing those benefits. This is called the “welfare cliff.”
Let’s take the example of a single mom with two kids, 1 and 4. She has a $29,000 a year job, putting the kids in daycare during the day while she works.
Read more by James Pethokoukis at American Enterprise Institute
GDP Growth More Strongly Correlated with Rule of Law than Anything Else …
Economist Woody Brock says that a nation’s GDP growth is based mainly on whether or not it follows the rule of law.
–SNIP– Economists have thoroughly documented that failure to enforce the rule of law leads to a loss of trust … which destroys economies.
This is true whether it is in the West, in Nigeria or any other country.
Read more at WashingtonsBlog
James Taggart: “He didn’t invent iron ore and blast furnaces, did he?”
Cheryl Brooks: Who?”
“Rearden. He didn’t invent smelting and chemistry and air compression. He couldn’t have invented his Metal but for thousands and thousands of other people. His Metal! Why does he think it’s his? Why does he think it’s his invention? Everybody uses the work of everybody else. Nobody ever invents anything.”
She said, puzzled, “But the iron ore and all those other things were there all the time. Why didn’t anybody else make that Metal, but Mr. Rearden did?”
–Ayn Rand, Atlas Shrugged, Part I, Ch. 9, The Sacred and the Profane
July 23, 2014
by Rep. Dale Kooyenga (R-Brookfield)
Last year many Wisconsin residents celebrated Wisconsin’s first measurable tax cuts in nearly a decade. In addition to cutting taxes, progress was made in simplifying the tax code as evidenced by the elimination of 17 tax credits, downsizing from five to four tax brackets and eliminating Wisconsin’s depreciation schedules in favor of adopting federal standards. In just over two years, Wisconsin went from billions in the red, to cutting both income and property taxes.
I am pleased we were able to accomplish what we did. At the risk of being the “fly in the punch bowl,” let me state we still have a significant problem. Wisconsin by any measure remains a high tax state.
The praise received for cutting taxes is notable and fair because it signified a significant change in trajectory. However, we can’t kid ourselves, we still have yet to fully implement a pro-growth tax code. It’s analogous to being proud of your 16 year old son for turning off the television and heading off to clean his bedroom, but his bedroom is still a mess.
Read more by Nick Novak at MaciverInstitute.com
As students, we see a lot of potential in our peers. We see future engineers, lawyers, professors, and businessmen growing exponentially on campus. When these bright students graduate, some will enter graduate school, others will accept positions with existing companies, but some graduates will want to start a new business. We can assure you that there is no better state than Wisconsin to do just that.
Under Governor Walker, we have seen nearly 20,000 new businesses, adding well over 100,000 jobs. He achieved those numbers by putting the taxpayers first, supporting families and job creators statewide. Now with this lowered tax burden, the employer confidence level is up to a staggering 95%, and graduates will be able to start their own businesses without having to worry about government stepping in the way of their dreams.
Read more by wisconsin.crnc.org
Democrats throw black voters under the bus.
One of the sleeper issues surrounding the debate on amnesty for illegal immigrants – an inconvenient one that no proponent of a widespread amnesty wishes to acknowledge – is the devastating effect so-called immigration reform will have on African Americans.
The black unemployment rate is almost 11 percent, far higher than that of any other group profiled by labor statistics. African Americans are disproportionately employed in lower-skilled jobs – the very same jobs immigrants take. As Steven Camarota asked in a recent column, why double immigration when so many people already aren’t working?
Who will be harmed most by amnesty? African-Americans.
Read more by A. J. Delgado at NationalReview.com
Barack Obama campaigned four years ago assailing President George W. Bush for wage losses suffered by the middle class. More than three years into Obama’s own presidency, those declines have only deepened.
The rebound from the worst recession since the 1930s has generated relatively few of the moderately skilled jobs that once supported the middle class, tightening the financial squeeze on many Americans, even those who are employed.
“It started long before Obama, but he hasn’t done anything,” said John Forsyth, 58, a railroad-car inspector and political independent from Lebanon, Ohio. “He kept pushing this change, change, change, and he hasn’t done anything.”
Underlying the erosion of the middle class, defined by some economists as the middle 60 percent of income earners, are trends that stretch back decades, including competition from lower-wage workers overseas and technological advances that allow factories and offices to produce more with less labor.
Read more By Mike Dorning at Bloomberg.com from 2012.
Call it the million-worker mystery.
A large chunk of American adults are no longer in the labor force. That has left economists divided over how many of them are voluntarily not working-or even looking for work-because they wanted to retire, go to school or take care of family members, versus how many have been forced out because they couldn’t find a job.
Read more by Allison Linn at CNBC.com