Senate Democrats have released a revised plan to extend and expand a temporary cut in the Social Security payroll tax after competing proposals on the issue from the two parties both failed in the Senate last week. The Democrats want…
The current debate over extending the payroll tax cut well demonstrates that policymakers often mean different things when referring to policies that “help” or “expand” the economy. I often hear the words “stimulus” and “growth” used interchangeably, but when economists…
Fitch Ratings on Monday affirmed the U.S. government’s AAA rating but lowered its long-term rating outlook from “stable” to “negative” and warned that there is “a slightly greater than 50 percent chance of a downgrade over a two-year horizon.” The U.S.…
The congressional “super committee” charged with recommending at least $1.2 trillion in deficit reduction for the next decade announced Monday that it had failed to reach agreement on a plan. Democrats and Republicans each blame the other for the failure,…