Tag Archives: recession

Critics Smell ‘Economic Sabotage’ as McConnell Unveils Covid Plan With $0 for Unemployment Boost, Direct Payments

“McConnell is making it pretty clear that if Dems don’t win the Georgia Senate races, he will cripple the American economy, hoping it will let the GOP win the midterm.”

By Jake Johnson, staff writer for Common Dreams. Published 12-2-2020

Photo: Gage Skidmore/flickr/CC

Senate Majority Leader Mitch McConnell on Tuesday began circulating a coronavirus relief proposal whose contents offer so little assistance to the tens of millions of jobless, hungry, and eviction-prone Americans that critics warned the Kentucky Republican is actively working to ensure the U.S. economy remains mired in deep recession as Biden administration takes charge next month.

Described as a “targeted” relief proposal, McConnell’s plan is heavily geared toward providing corporations with immunity from coronavirus-related lawsuits; the offer includes a liability shield that Public Citizen’s Remington Gregg described as “breathtakingly broad.” The Kentucky Republican’s plan also contains a 100% tax deduction for business meals. Continue reading

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Investing $2 Trillion in US Clean Energy and Infrastructure Could Create Millions of ‘Good Jobs,’ Analysis Finds

“We don’t have to choose between a strong economy or a healthy environment—we can have both,” says an EPI data analyst.

By Jessica Corbett, staff writer for Common Dreams. Published 10-20-2020

A solar PV array in Gerlach, NV. Photo: BlackRockSolar

Pursuing trade and industrial policies that boost U.S. exports and eliminate the trade deficit while investing $2 trillion over four years in the nation’s infrastructure, clean energy, and energy efficiency improvements could support 6.9 to 12.9 million “good jobs” annually by 2024, according to an analysis published Tuesday.

The new report from a trio of experts at the Economic Policy Institute (EPI), a U.S.-based think tank, comes as the country continues to endure the public health and economic consequences of the ongoing coronavirus pandemic, which has claimed more than 220,000 lives and millions of jobs in the United States alone this year. Continue reading

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Poverty is a political choice

A UN Rapporteur has just delivered a withering critique of the international system.

By Stephen McCloskey  Published 7-9-2020 by openDemocracy

Philip Alston, Special Rapporteur on Extreme Poverty and Human Rights, 22 June 2018. | Flickr/UN Photo/Jean-Marc Ferré. CC BY-NC-ND 2.0.

The United Nations Rapporteur on Extreme Poverty and Human Rights, Philip Alston, has just released his final report, a withering critique of international efforts to eliminate poverty which he describes as the result of “longstanding neglect” by “many governments, economists, and human rights advocates.”

Central to his report are the institutional failings of the World Bank in getting to grips with the scale of global poverty, which it persistently underplays using the flawed measurement tool of an international poverty line, or IPL. The IPL, argues Alston, sets the poverty benchmark at way too low a level to support a life of dignity consistent with basic human rights. Continue reading

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Washington’s recession-fighting toolbox is nearly empty as US economy braces for possible coronavirus outbreak

A wrench may not be enough. mipan/Shutterstock.com

Bill Ferguson, Grinnell College

Investors, policymakers, businesses and the general public are increasingly concerned the coronavirus’ rapid spread will lead to a recession. While this outcome is hard for economists like me to predict, we do know one thing: The U.S. is not prepared to fight a deep recession.

Policymakers basically have two methods for reversing a downturn: monetary stimulus, primarily through reduced borrowing costs; and fiscal stimulus, when the government spends more or cuts taxes.

Unfortunately, the U.S. currently has dim prospects for success with either option. Continue reading

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‘What Is the Fed Not Telling Us?’: Fears of Economic Instability After Central Bank Intervention Spikes

“A financial system that requires over $100B of liquidity injections every day, temporary, permanent or otherwise, has major issues.”

By Eoin Higgins, staff writer for Common Dreams. Published 8-27-2019

Is the Fed reacting to market volatility or preparing for recession? (Public domain)

A number of financial experts and investors are sounding the alarm over the Federal Reserve’s recent infusion of cash into the market and warning that the actions by the central bank could be the precursor to economic crisis.

On October 22, the Fed pumped $99.9 billion in temporary liquidity into the market to ease stresses brought on by a tightening credit market. Two days later, on October 24, the bank upped that to $134 billion. Continue reading

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