Economy

Debt Versus Economy

By Justin Katz | May 10, 2011 |

Too much can be made by each individual organization’s predictions, but there’s something disconcerting about this: PIMCO’s Bill Gross, the manager of the world’s largest bond fund, raised his bet against U.S. government-related debt in April to 4 percent from 3 percent, according to the company’s website on Monday. … Gross told Reuters on Friday:…

A Couple of Narrower Economic Debates

By Justin Katz | April 29, 2011 |

The other day, I mentioned the International Monetary Fund report suggesting that, by a “purchasing power,” China would surpass the United States economically in 2016. Stephen Green isn’t buying the “purchasing power” thing: Measured dollar-for-dollar, China’s GDP is less than half that of the United States’ — it’s only by measuring “Purchasing Power Parity” that…

A Winner by Fiat

By Justin Katz | April 29, 2011 |

Oh, happy day. Keynes and Hayek are back for round 2 of their rap war: Not surprisingly, the representatives of the public sector and media, as portrayed in the video, have a preference.

The Young and Unemployed

By Justin Katz | April 27, 2011 |

As the old song goes, the children are the future, and in discussing the effects of our graying workforce, John Kostrzewa worries about Rhode Island’s: Eleven percent of the 107,108 people ages 22 to 29 who lived in Rhode Island in 2008 moved out in 2009. That’s 11,200 young people. The numbers are even scarier…

Time to Stop Being an Ostrich

By Marc Comtois | April 26, 2011 |

When Ernst & Young, one of the Big 4 professional services firms, releases a study (PDF) that says Rhode Island is one of the worst in the nation for tax competitiveness when it comes to attracting new business, you’d better listen. This study provides a state-by-state comparison of the tax liabilities that new investments in…

Move Out of the State? That Might Only Buy You Some Time

By Marc Comtois | April 26, 2011 |

Former RI Auditor General Ernest Almonte says moving out of the state is, right now, about the only way that Rhode Islanders can avoid paying the $13,000 apiece we “owe” to fund public employee retirees (present and future). This is the big headline that came out of a conference held at URI last night. Also…

The Reign of Obama May Close Out the Age of America

By Justin Katz | April 25, 2011 |

It’s not the current president’s fault (although many of us would be inclined to suggest that he hastened the end result), but if Barack Obama wins a second term, it may be that he’ll turn out the lights on the Age of America… at least according to the International Monetary Fund: According to the latest…

Americans Get More Tax Revenue Then They Send

By Marc Comtois | April 21, 2011 |

A milestone has been reached. One not seen since the Great Depression. Households received $2.3 trillion in some kind of government support in 2010….that’s more than the $2.2 trillion households paid in taxes, an amount that has slumped largely due to the recession, according to an analysis by the Fiscal Times. Also, an estimated 59%…

Not Working: A Society in Decline

By Justin Katz | April 15, 2011 |

A USA Today study finds that the percentage of Americans not working hasn’t been higher since women began entering the workforce, and the percentage of men who are working has never been lower. Moreover: In 2000, the nation had roughly the same number of children and non-working adults. Since then, the population of non-working adults…

The Insidiousness and Destruction of Decades of Incremental Tax Increases

By Monique Chartier | April 13, 2011 |

In response to the protest rally held by the business community yesterday at the State House, the governor asked for proof that his proposed massive broadening of the sales tax will damage Rhode Island businesses. Rhode Island currently has the fifth highest state and local tax burden. It also has one of the worst business…