Normalize U.S. Economy
U.S. stock prices have just reached record highs, erasing the losses since the previous 2007 peak. But the U.S. economy as measured by the labor-force participation rate, which captures the percentage of working-age people in the labor force, has just dropped to a new 34-year low of 63.3 percent. Since the Great Depression, recessions have always been followed by strong Read More ›
The Deficit Bugaboo
Are we better off having lower taxes on interest, dividends and capital gains (and other taxes on capital) or having a lower deficit? Obscure as it may seem, this is the central economic debate being fought in the political arena. To fund any given level of government spending, our political leaders have to choose how much of the spending should Read More ›
War Against the Stock Market
Why is the stock market still depressed? In one word, Washington. The Washington political class has engaged in a steady stream of actions and proposals over the last few months that would depress any economy and investor. To explain this, I shall begin with a digression. Last month, the president decided to honor the great Nobel Prize-winning economist, Milton Friedman. Read More ›