Update 662 — Weaponizing the DebtHouse GOP’s Cause: Whose Default? The Full Faith and Credit clause of the 14th Amendment to the U.S. Constitution states that “[t]he validity of the public debt of the United States, authorized by law… shall not be questioned.” With good reason, given debts incurred in waging the Civil War, and …
Update 661 — A Soft Landing in 2023?Jobs, CPI, Tracking Fed Plane in the Sky As we enter a new year, the economy appears to be on the mend. Last year, inflation began accelerating and stayed elevated throughout. As yesterday’s CPI report makes clear, prices continue a descent thanks (only in part) to the Fed’s …
Update 660 — Rules of Engagement:Starve the Beast, with an Orwell Nod On Monday, the House of Representatives adopted the GOP Rules for the 118th Congress. Newly-minted Speaker McCarthy had to make many concessions with the most extreme MAGA members in his conference in exchange for their votes, including creating new oversight committees and spending …
Update 659 — The Putative 118th Congress:What’s Ahead for Economic Policy Legislation The House GOP conference has had several thousand dollars of pizza delivered this week to sustain it through failed ballot after ballot to elect a Speaker. This spectacular display of chaotic dysfunction comes two years after the insurrection on the Capitol, a more …
Update 658 — 117th Congress Wraps:$1.7 T Budget Deal Caps Prolific Year Congress heard last night from Ukrainian President Volodymyr Zelensky, who reminded democracies around the world that we are all In this — defense of self-government against state terrorism — together. Congress concurred and will provide $45 billion in assistance to Ukraine to repel …
Update 657 — Investors Ask FTX, WTF?Fraud Ignites Hill Debate on Crypto Reg. In recent weeks, Americans have seen the air begin to go out of two of the biggest political and financial balloons of recent years. Ex-President Trump suddenly trails Florida Gov. DeSantis in GOP 2024 polls by as much as 23 points; “I …
Update 656 — Fed Boosts Rate 50 BPsIs Soft—and Swift—Landing in Sight? Today, the Federal Reserve announced a 50 basis point interest rate increase, bringing the borrowing benchmark up to a targeted range of 4.25-4.5 percent. This rate hike, a slowdown after four consecutive 75 point increases, suggests the Fed believes it may have a …
Update 655 — Georgia Breaks the Tie:Political, Policy Import of Warnock Win Senator Raphael Warnock won reelection in Georgia’s runoff this Tuesday, defeating GOP nominee Hershel Walker, football star turned flawed first-time candidate, by almost three points. With Georgia again flashing purple, Democrats have bolstered their claim on a traditionally southern, conservative state. So Warnock’s …
Update 654 — Tax Talk of the Town:Fate of CTC and R&E Rest on FY23 Good news from Georgia — Senator Raphael Warnock has won re-election, giving Democrats 51 seats and a governing majority in the Senate (which we cover Friday). Members of Congress, staff and advocates are working feverishly to hash out a compromise …
Update 653 — Housing in the HouseStatus of Sector; Policy Possibilities? Yesterday, the House Financial Services Committee held its sixth hearing this Congress on proposals to address chronic and current issues in the housing sector. This focus makes sense: spending on housing and related services represented 17.5 percent of GDP in 2020. Real estate constitutes …
