Congress is in its summer recess while the American economy faces further devastation. Covid-19 has devastated the American economy with the closure of businesses resulting in the worst unemployment rates since the Great Depression. Without workers churning out products and services the American economy falters in place. The problem – in its simplest terms –… Read More Congress Devastates Economy Further
Today, the emergency $600 weekly federal unemployment stipend expires. As of now, Congress is unable to come to an agreement about how to move forward on stimulating the economy as the Coronavirus pandemic continues to destroy the economy. With the November elections less than 100 days away, it is surprising that the Republicans have put… Read More About Twenty Million Americans About To Go Hungry
In the coming days, the federal unemployment subsidy will expire. The subsidy provides $600 a week in unemployment benefits to workers impacted by the pandemic. The federal eviction moratorium will also be ending. Both are scheduled to end this week. Congress is now considering two competing stimulus packages with the House Democrats pushing a $3.5… Read More The Rental Eviction Tsunami
The Coronavirus pandemic was going to “magically disappear” was what Donald Trump was hoping for. It didn’t. Instead it is re-surging and the American economy is under more pressure to reopen. As if that wasn’t enough, both Trump and the Republicans need a strong economy in November for them to succeed at the ballot boxes.… Read More Second Stimulus Package On the Way, But At What Cost?
Those hoping for an economic rebirth to happen in 2020, after the pandemic emergency ends, need to rethink their dream. It is not going to happen. Many are likely arguing that Wallstreet is booming so the economic outlook must be good. Looking closely at Wallstreet it soon becomes apparent that in between the headlines of… Read More The 2020 Economy Is Dead
Banks have been trying to get bank consumers to go electronic for some time now. The reason is that payroll is likely a bank’s largest expense followed by real estate. Much of the need for labor lies in handling cash transactions. Cash transactions for banks are onerous as much of it cannot be automated. Consumers,… Read More Banks Shedding Jobs After Covid
The question on many minds is whether the government will issue more stimulus checks to people or will there be more government programs to stimulate the economy. The country’s reopening of the economy became stalled as the Coronavirus re-surged in many states. Unemployment remains higher than normal. Adding to the stress of the economy is… Read More Second Stimulus Check?
It doesn’t matter where you stand on Donald J. Trump. It doesn’t matter if you voted for him or detest what he has done to America. It doesn’t matter if you believe that Covid-19 is real, a conspiracy or something else. The one thing everyone should be able to agree on is that Covid-19 has… Read More The Covid Presidency
The June job report is expected out today. The speculation is that about 3 million jobs were added in June as America began to reopen the economy. However, the the unemployment rate is expected to remain higher than normal. And then, Covid-19 struck again. Many states started to reopen their economies by ending stay-at-home orders… Read More Has Covid Stalled The Economy?
Unless you live under a rock then you know that Donald Trump does not want immigrants to come to America. Trump has made it almost impossible for any immigrant to come to the country. This is especially true for those who want to Make America Great Again by their hard work. But even with Trump’s… Read More Covid-19 Recovery Requires Immigrants
For some time now I have been arguing that June is the pivot point. I still believe it is. There is no doubt that the way things were before Convid-19 are no longer the same. Many graduates wore medical masks to graduations and the ceremonies were streamed online. The Covid-19 generation – from middle school… Read More Unemployment Continues To Get Worse
Author’s note: This is the first in a new series I am starting on Life after Covid-19 for Small Businesses. As companies begin to slowly reopen in anticipation of getting back to work many new challenges await business owners. The way we used to work is no longer possible. The business climate has changed along… Read More Remote Working Post Covid-19
As many readers likely know, the number of unemployed workers has approached the dismal numbers of the Great Depression. Although many workers believe that their jobs are still waiting for them, the reality is that those jobs are likely not there anymore. Even if the jobs remain, many workers will be shocked to learn that… Read More Post-Covid-19 Job Crisis
As America nears the all-time high unemployment rate of 20% for May, the numerous bankruptcies indicate that unemployment is worse than most believe. Next week the unemployment numbers for May will be released. Many expect the rate to be over 20%. The problem with the unemployment numbers is that they count workers who qualify for… Read More Bankruptcies Make Bodes Worse For Unemployment Numbers
There is an ongoing debate on whether mandatory lock downs are hurting the economy, or they are not. Part of those who are advocating for their right to remain open support the idea that Americans are a free people and that government should not interfere with their basic rights. The problem with this thinking is… Read More June is The Pivot Point
Today, there is an estimated 20.5 million Americans without a job. It is an estimate because the true numbers of unemployed is unknown. About two weeks ago in “The Pending Unemployment Catastrophe” (link) we looked the unemployment rates from the Great Depression onward. Although the unemployment numbers released for April are not the 20%, I… Read More Unemployment Numbers for April 2020
As America starts to prepare for the reopening of the economy there is a serious problem awaiting everyone. Officially America’s unemployment rate hovers around 4.4%. That is the official government number before the pandemic killed the economy. Anecdotally, the unemployment rate is at, or above 20%. We will not know for sure for some time,… Read More The Pending Unemployment Catastrophe
Typically, the bureaucracy fails to deliver. I knew this was going to happen because we live in a dog-eat-dog world. I learned a long time ago that when it comes to the government, it is never a good idea to pretend that things will work out. I have tried to bid on government work only… Read More No Government Money For Me
The deal reached on Sunday between Russia, Saudi Arabia and other oil producing nations is not enough to solve the oil price problem. Cutting 9.7 million barrels a day is not enough to save the American shale oil companies. The pandemic has reduced oil consumption so much that the deal won’t be enough to stabilize… Read More Mexico: The Unexpected Oil Deal Winner
The news media has been on a disruptive curve from the moment news consumers realized that the internet provides instant information. Many news outlets have either evolved, gone out of business or are trying to survive. Pleas for money has become the norm in the news media industry. The internet has disrupted many business models.… Read More News Media Cuts And Pleas For Money
Almost everyone is under stay-at-home orders and when it will end is still up in the air. Most businesses remain closed. Workers are without jobs and many wonder if there is a job waiting for them. So why is it time to get to work? Easy. Because it is time to prepare for when the… Read More The Time To Get To Work Is Now
Many of you may have noticed that the price of gasoline has gone down considerably over the last few weeks. Readers may be tempted to believe that the Corona Virus as the cause of the low prices of gasoline. It is part of the reason because of reduced consumption. However, the low price of gasoline… Read More The Oil Economy Disaster Under Corona
Many taxpayers are excited to know that Congress is on the verge of sending each American taxpayer about $1,000. As of 5:00pm, eastern time yesterday, Congress was still arguing over some details about the Coronavirus Aid, Relief, and Economic Security (CARES) Act. However, it seems that the proposed $1,200 checks for individuals and $2,400 for… Read More Important Questions About The Proposed Stimulus Checks
We are amid major changes in the global economy and the way we live our lives. Those of us that have lived through the currency devaluations of our countries or other major economic changes mostly understand what is to come. We have lived economic chaos before. Most Americans do not understand how lives will change… Read More The Age of COVID-19
One of the controversial things about neoliberalism that Ronald Reagan championed, and that NAFTA embraced is the debate that trickle down economics is a failure. The argument that trickle down economic doesn’t work is based on a misleading argument. Trickle down economics do not work is the prevailing argument. The individuals who embrace this notion… Read More Trickle Down Economy
Yesterday we looked at what I have dubbed the toilet paper economy. In my post I opined that the hoarding of toilet paper signifies that U.S. consumers have lost confidence in the economy. But as I contemplated this some more, it became obvious to me that it all leads back to Donald Trump. Americans have… Read More Americans Have Lost Confidence In Their Government
The Corona Virus has exposed a very American fear – the fear of running out of toilet paper. Americans are hoarding toilet paper. Why, is the question many are asking as toilet paper is plentiful across the country. It is easy to blame it on the Corona Virus. But the hoarding of toilet paper gives… Read More The Toilet Paper Economy
Don’t look now, but the taco truck economy proves that Latinos are taking control of America. This is the worst fear for the American xenophobes who fear becoming the minority in a brown America. The economy is shifting away from White America and becoming darker and darker each year. Small businesses drives the American economy.… Read More Taco Truck Economy Creates Fear For Xenophobes
Some may wonder why Donald Trump is so fixated on the Fed and interest rates. The simple answer is that Donald Trump needs a fake economy to win the 2020 elections. Trump’s beef with the Fed are the interest rates. The higher the interest rates the Fed sets, the worst the economy seems to Americans.… Read More Trump Needs a Fake Economy for 2020
So far the Republicans have accepted the problems that Donald Trump has caused the party because Donald Trump is delivering on the appointment of conservative judges to the federal benches, as well as tax reform. In addition, the Republicans believe that if they can get Trump into his final term, it would bode well for… Read More The Republican Achilles is NAFTA 2
Donald Trump’s ongoing trade war against China benefits México and I am hoping Trump continues it. Yes, you read that right, I am hoping Donald Trump continues his war on Chinese goods. In fact, I hope that the Trump Administration intensifies it before backing down. As many of you likely know, yesterday, Donald Trump announced… Read More Chinese Trade War Benefits Mexico
It is the common understanding that American elections are determined based on how the electorate feels about the economy. Basically, if the electorate feels the country is economically going the right direction it will vote to keep the incumbents in office. As we come upon the midterms it is commonly accepted that as long as… Read More It Is The Economy Stupid
Donald Trump promised to end the “disastrous” NAFTA agreement as soon as he took office. Then, reality slapped him across the face and Trump had to figure out a way to save face and keep America’s economy moving. The problem is that NAFTA has intertwined the economies of Canada, México and the United States into… Read More Trump NAFTA Strategy is Divide and Conquer
In case you are in the market for a washing machine, get ready to pay more for it. This is because Donald Trump quietly launched the first volley in the trade war between the United States, China and México. On Monday, while everyone was distracted with the government shutdown, Trump approved imposing safeguard tariffs on… Read More Get Ready to Pay More for Washing Machines
Trickle down economics is a dirty word for many readers. Apparently, the notion is that trickle down economics only benefits a certain segment of the economy. However, my experience has been that trickle-down economics benefits more individuals then it hurts. I have experienced trickle-down economics first hand. I am neither poor nor am I wealthy.… Read More Trickle Down Economics
On Tuesday I received my iPhone X, after waiting almost a month to have it my hands. The journey my iPhone made from manufacturing to my hands explains why attacking NAFTA endangers American workers. I use American to refer to workers in the United States, Canada and México, after all we are in North America.… Read More Why Donald Trump Has NAFTA All Wrong
There is now doubt that the Mexican economy is heavily dependent upon NAFTA. The Mexican economy was battered initially when Donald Trump threatened to withdraw from NAFTA. The latest round of the renegotiation meetings between the governments of Canada, México and the United States ended with Canada and México telling the Trump administration that they are… Read More The Mexican Economy Post Donald Trump
In 2006, the City of El Paso paid $100,000 to a dubious research firm to create the Glass Beach Study presumably to rebrand the future for El Paso. The study created much controversy in the El Paso community because it suggested that El Paso would be better off if it was de-Mexicanized. The study depicted… Read More The El Paso Glass Beach Study in the Trump White House
On Tuesday, the Fourth Round of NAFTA negotiations concluded. Leading the U.S. delegation was United States Trade Representative Robert Lighthizer. The Canadian delegation was led by Canadian Foreign Affairs Minister Chrystia Freeland and Mexican Secretary of the Economy, Ildefosno Guajardo led the Mexican delegation. The three ministers issued a joint statement stating that the concluded… Read More NAFTA Closer to Ending
In 1991, I published “A Hesitant Handshake Between Neighbors”. It was a writeup about NAFTA. In the essay I pointed how that the United States had been relying on import quotas for trade protection before NAFTA. It seems that Donald Trump wants to go back to protecting U.S. jobs by limiting imports. To limit imports,… Read More The Tomatoes Are Too Red For Some NAFTA Complainers