Capital Investment is Accelerating
Following near stagnation during the previous administration’s last two years, domestic capital expenditures (“capex”)—the lasting investments of private businesses—accelerated dramatically after the November 2016 election and even more so since Tax Cuts Jobs Act (TCJA) became law. TCJA is not solel...
U.S. Economy Makes a Comeback—4.1% Growth in Q2
The U.S. economy grew at an annualized rate of 4.1% in Q2—household spending was the largest contributor while business spending on capital continues to contribute strongly to economic growth. The chart shows that inflation-adjusted (real) GDP growth continued to accelerate in Q1 and Q2 over the las...
From Pro-Growth to Anti-Growth
House Minority Leader Nancy Pelosi described as “accurate” reports that Democrats would increase taxes and roll back the Tax Cuts and Jobs Act (TCJA) if they controlled Congress. Below is some of what could be in store.
Fact Check: Yes, Data Show Workers’ Earnings Have Improved
Americans are enjoying greater benefits and total compensation thanks to the Tax Cuts and Jobs Act and streamlined regulation, and the data show it. A recent misleading graph showed wage growth in negative territory, but such arguments making that case often appear to be either inaccurate or incompl...
Medical Device Tax by the Numbers
Ten reasons to end the destructive tax on innovation.
Three Takeaways from CBO’s 2018 Long-Term Budget Outlook
Congressional Budget Office's (CBO) 2018 Long-Term Budget Outlook highlights that spending continues to drive America’s debt trajectory. Contrary to what some say, it also shows that the Tax Cuts and Jobs Act (TCJA) has little effect on the long-term budget outlook.
Chairman Erik Paulsen Delivers Opening Statement on “Innovation, Entrepreneurship, and Barriers to Capital Access”
Chairman Erik Paulsen delivered the opening statement for the Joint Economic Committee's Tuesday hearing on “Innovation, Entrepreneurship, and Barriers to Capital Access” The remarks as prepared for delivery appear below:
June 2018 Jobs Review: Job Growth Beats Expectations
Job creation continues to exceed that necessary to sustain the growth in the working-age population and to beat the expectations of forecasters. Improved, though modest by historical standards, wage growth indicates that a reserve supply of labor remains to sustainably propel U.S. economic growth. T...
May FOMC Review: Interest Rates Remain Unchanged at 1.75%
Following the Federal Open Market Committee (FOMC)’s meeting ,the Fed left its interest on excess reserves (IOER) rate unchanged at 1.75%. The fed funds rate will continue to trade between 1.75% and an overnight-reverse repurchase (ON-RRP) rate of 1.50% (see Box 2 below). The Fed’s current normaliza...
Some Good News from CBO’s 2018 Budget and Economic Outlook
Today, Larry Kudlow, director of the National Economic Council, criticized the Congressional Budget Office as "always wrong, especially with regard to tax cuts, which they never score properly because they don't understand the growth, the incentives and the encouragements to reward success." Neverth...
