Economics

Memo To Obama: Banks Are Beautiful

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In his search for what Theodore Roosevelt called “a good, safe menace,” President Barack Obama has settled on the nation’s largest commercial banks, which as late as last year’s bailouts were still considered the best hope for economic salvation.

At first Obama was content to rail about the filthy lucre of banker bonuses. Then he got the idea of maybe hitting the bonus babies with special taxes. But the reason that the Secretary of the Treasury is often the former chairman of Goldman Sachs is because the bank is one of the instruments that keeps the government afloat.  read more »

The Fate of Detroit – Revisited Green Shoots? The Changing Landscape of America

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During the first ten days of October 2008, the Dow Jones dropped 2,399.47 points, losing 22.11% of its value and trillions of investor equity. The Federal Government pushed a $700 billion bail-out through Congress to rescue the beleaguered financial institutions. The collapse of the financial system in the fall of 2008 was likened to an earthquake. In reality, what happened was more like a shift of tectonic plates.  read more »

Connecting Facts to Forecast 2010

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Anyone can figure out the State of the Union by taking a good look around. I mean, I was born in the afternoon – but not yesterday afternoon – I don’t need four days of press coverage and a long speech by the President to tell me that Americans are suffering.

This time of year, though, everyone is looking for some hint of what is to come. Even the most rational among us are tempted to seek out some prediction of the future. Economists often rate high on the list of seers sought out by most Americans – right up there with stock brokers, Dionne Warwick’s Psychic Friends Network, and Joan Quigley (White House astrologer to the Reagans).

In this article, I’ll give you a few of my own predictions and then invite you to tell me the subject areas you want predicted. When pressed for my vision of the future, I like to add up what I already know to arrive at what I think will happen.  read more »

The Death Of Gentry Liberalism

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Gentry liberalism, so hot just a year ago, is now in full retreat, a victim of its hypocrisy and fundamental contradictions. Its collapse threatens the coherence of President Barack Obama's message as he prepares for his State of the Union speech on Wednesday.  read more »

Phoenix, Put Aside Dreams of Gotham

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Now that Phoenix's ascendancy has been at least momentarily suspended, its residents are no doubt wondering what comes next. One tendency is to say the city needs to grow up and become more like East Coast cities or Portland, Ore., with dense urban cores and well-developed rail transit. The other ready option is always inertia - a tendency to wait for things to come back the way they were.

Neither approach will work in the long run.  read more »

The Kids Will Be Alright

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America's population growth makes it a notable outlier among the advanced industrialized countries. The country boasts a fertility rate 50% higher than that of Russia, Germany or Japan and well above that of China, Italy, Singapore, North Korea and virtually all of eastern Europe. Add to that the even greater impact of continued large-scale immigration to America from around the world. By the year 2050, the U.S. population will swell by roughly 100 million, and the country's demographic vitality will drive its economic resilience in the coming decades.  read more »

Florida: From Hard Times in the Sunnier Climes

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By Richard Reep

Florida’s era of hard times continues. Last week we held a "Jobs Summit " here in Orlando but heard little but self-congratulation by politicians like Governor Charlie Crist. He praised the Legislature’s budget cuts but had little to claim when it came to reviving the economy.  read more »

The War Against Suburbia

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A year into the Obama administration, America’s dominant geography, suburbia, is now in open revolt against an urban-centric regime that many perceive threatens their way of life, values, and economic future. Scott Brown’s huge upset victory by 5 percent in Massachusetts, which supported Obama by 26 percentage points in 2008, largely was propelled by a wave of support from middle-income suburbs all around Boston. The contrast with 2008 could not be plainer.  read more »

MILLENNIAL PERSPECTIVE: Vintage Fashion & The Twice-Around Economy

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One impact of the recession has been a fundamental change in consumer clothing purchase patterns. Luxury retailers’ losses have been second-hand retailers’ gains. Internet marketers have also been uniquely positioned to benefit.

Instead of buying new goods, more shoppers are turning to second-hand bargains. Thrift stores, with their low prices, are rising in popularity.  read more »

America's Agricultural Angst

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In this high-tech information age few look to the most basic industries as sources of national economic power. Yet no sector in America is better positioned for the future than agriculture--if we allow it to reach its potential.

Like manufacturers and homebuilders before them, farmers have found themselves in the crosshairs of urban aesthetes and green activists who hope to impose their own Utopian vision of agriculture. This vision includes shutting down large-scale scientifically run farms and replacing them with small organic homesteads and urban gardens.  read more »