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Powell would be the first non-economist to head the Fed since the disastrous appointment of G. William Miller by President Carter in 1978. But parallels are strained. EFE

The immediate focus of the new Fed president will be on how to sustain the economic recovery without low interest rates fueling inflation or financial speculation.

[OP-ED]: Both Trump and the media love wrestling in the mud

 08/21/2017 - 12:19
There’s no evidence behind the terrible accusation that Trump is in league with white supremacists. When he declared in his Monday remarks from the White House that “racism is evil,” I bought it. EFE

In keeping with the recent meme of recognizing bad behavior “on many sides,” there was something that was painfully obvious during last week’s improv news-conference-like-no-other in the lobby of Trump Tower: President Trump and the media deserve each other. Both are driven by ego and take criticism personally. Both will twist the facts to defend themselves and push their agenda. And both love to wrestle in the mud.

[OP-ED]: Postponing the next recession?

 06/30/2017 - 08:37
Economists from the Bank for International Settlements (BIS) in Basel, Switzerland -- a bank for government central banks -- find that the pass-through from wage increases to price increases has weakened. If this is confirmed and continues, it implies that inflation will remain tame for some time even if the economy continues to grow. EFE

This is not your father’s inflation -- and that’s good news. Business cycles often end when higher inflation causes a country’s central bank (the Federal Reserve in the United States) to raise interest rates, slowing the economy and, perhaps, triggering a recession. The good news: The next recession may be delayed, because the Phillips Curve has shifted.

[OP-ED]: ¿Postergar la próxima recesión?

 06/30/2017 - 08:33
Los economistas del Banco de Pagos Internacionales (BPI) en Basilea, Suiza—un banco para bancos centrales gubernamentales—halló que el pasaje de los aumentos salariales a los aumentos de precios se debilitó. Si eso se confirma y continúa, implica que la inflación seguirá controlada durante algún tiempo, incluso si la economía continúa creciendo. EFE

Ésta no es una inflación habitual—lo que es una buena noticia. Los ciclos económicos a menudo se acaban cuando, debido a una inflación elevada, el banco central de un país (la Reserva Federal en Estados Unidos) eleva las tasas de interés, ralentizando la economía y, quizás, desencadenando una recesión. La buena noticia es que la próxima recesión quizás se retrase, porque la Curva Phillips se modificó.

[OP-ED]: Our Education, Born from Swamps

 05/15/2017 - 15:27
In lower income neighborhoods, students can struggle without access to proper educational materials, exposure, and parental poverty. 

The story of education in lower income neighborhoods is an all too familiar one. The struggle to obtain a stable education is a story of overcoming conditions that are less than favorable, much like the swamp plant. What is causing these students, especially Latinos, to fall behind? How can they grow from these meager and impoverished conditions?  

Author: 

Who wants to study Spanish in Philadelphia?

 03/28/2017 - 16:30
María Paredes Fernández, profesora de español en Penn University, fue nominada el año pasado como “mejor profesora de español de EEUU”, por la Asociación Americana de Profesores de Español y Portugués (AATSP). Foto: Peter Fitzpatrick

The Hispanic immigrant community has played a fundamental role in the growth of the city in the last decade. In the streets it is more and more common to hear conversations held in Spanish. However, it seems that this important trend is not reflected in universities. Why? A general crisis in the study of the humanities would be the answer. AL DÍA News spoke with professors from three of the most prominent universities in the city.

Author: 

[OP-ED]: Should the Fed run the economy ‘hot’?

 03/14/2017 - 17:44
The recovery, though encouraging, is certainly no economic panacea. Mounting inequality remains a big issue. From 2000 to 2016, the best-paid 5 percent of men achieved a 30 percent wage increase, according to Bureau of Labor Statistics data analyzed by Gould. For women, the comparable gain was 24 percent.

Toward the end of 1942, Winston Churchill, in announcing a rare victory over the German army, uttered one of his more memorable phrases: “This is not the end. It is not even the beginning of the end. But it is, perhaps, the end of the beginning.” The same might be said today of the American economic recovery. Progress, though real, is incomplete.

Plain Text Author: 
Robert J. Samuelson

[OP-ED]: ¿Debería la Fed administrar una economía ‘caliente’?

 03/14/2017 - 17:35
La recuperación, aunque alentadora, sin duda no es una panacea económica. La creciente desigualdad sigue siendo un gran problema. De 2000 a 2016, el 5 por ciento mejor pagado de los hombres logró un aumento salarial del 30 por ciento, según los datos de la Oficina de Estadísticas Laborales analizados por Gould. Para las mujeres, el avance equivalente fue del 24 por ciento.
 

Hacia fines de 1942, Winston Churchill, al anunciar una inusitada victoria sobre el ejército alemán, pronunció una de sus frases más memorables: “Éste no es el final. Ni siquiera es el comienzo del final. Pero quizás sea el fin del comienzo.” Lo mismo podría decirse hoy sobre la recuperación económica norteamericana. El progreso, aunque real, es incompleto.

Plain Text Author: 
Robert J. Samuelson

[OP-ED]: Why economists can’t forecast

 03/08/2017 - 19:06
Chevron Chief Executive John Sanders Watson during the company's executive and guest visit to celebrate the 95th anniversary of its entry into the financial market on the New York Stock Exchange. EFE

You knew it all along: Economists can’t forecast the economy worth a hoot. And now we have a scholarly study that confirms it. Better yet, the corroboration comes from an impeccable source: the Federal Reserve.

The study compared predictions of important economic indicators -- unemployment, inflation, interest rates, gross domestic product -- with the actual outcomes. There were widespread errors. The study concluded that “considerable uncertainty surrounds all macroeconomic projections.”

Plain Text Author: 
Robert J. Samuelson

[OP-ED]: Por qué los economistas no pueden pronosticar

 03/08/2017 - 18:59
El director ejecutivo de la compañía Chevron, John Sanders Watson, durante la visita de ejecutivos e invitados de la compañía para celebrar el 95 aniversario de su salida al mercado financiero en la Bolsa de Nueva York, Estados Unidos. EFE

Usted siempre lo supo: los economistas no pueden dar ningún pronóstico. Y ahora tenemos un estudio académico que lo confirma. Aún mejor, la corroboración proviene de una fuente impecable: la Reserva Federal.

El estudio comparó predicciones de indicadores económicos importantes—desempleo, inflación, tasas de interés, producto bruto interno—con los resultados reales. Hubo errores por todos lados. El estudio llegó a la conclusión de que “una considerable incertidumbre rodea a todas las proyecciones macroeconómicas.”

Plain Text Author: 
Robert J. Samuelson

[OP-ED]: The real Dodd-Frank scandal

 02/14/2017 - 09:53
Like many others, Geithner -- a critical player in containing the breakdown -- doubts the United States faces “a major financial crisis anytime soon.” To justify this, he offers both statistics and common sense. Foto: today.com
 
 

Comes now Timothy Geithner, treasury secretary from 2009 to 2013, to tell you that much of what you “know” about Dodd-Frank -- Congress’ response to the 2008-09 financial crisis -- is wrong. It’s a timely review because the Trump administration is promising to overhaul the law. The title of Geithner’s essay, carried in the current issue of Foreign Affairs, is simple: “Are We Safe Yet?” The answer is not so simple.

Plain Text Author: 
Robert J. Samuelson

[OP-ED]: El verdadero escándalo Dodd-Frank

 02/14/2017 - 09:49
Como muchos otros, Geithner--actor principal en la contención de la crisis--duda que Estados Unidos enfrente “una crisis financiera importante en un futuro cercano.” Para justificar esa opinión, ofrece estadísticas y sentido común. Foto: today.com
 
 

Ahora viene Timothy Geithner, secretario del Tesoro entre 2009 y 2013, para decirnos que mucho de lo que “sabemos” sobre Dodd-Frank--la respuesta del Congreso a la crisis financiera 2008-9--es incorrecto. Es una revisión oportuna, porque el gobierno de Trump promete reorganizar la ley. El título del ensayo de Geithner, publicado en el número actual de Foreign Affairs, es simple: “Are We Safe Yet?” La respuesta no es tan simple.

Plain Text Author: 
Robert J. Samuelson

Immigration case before SCOTUS: Explosive and fundamental

 04/16/2016 - 13:33
AL DÍA file photo.

No matter which way the Supreme Court decides, immigration has become one of those explosive issues, like civil rights, that has overflowed the bounds of normal politics, and has come to represent a fundamental battle over the nature and future of American society.

Plain Text Author: 
Sabrina Vourvoulias

Coffee or Tea party? Whatever your cup, roll up your sleeves

 03/13/2010 - 11:40
Coffee or Tea party? Whatever your cup, roll up your sleeves

I remember my first Tea Party invitation. The "hosts" were a group ofloosely federated regional anti-illegal immigration groups, the occasion
was Tax Day, and the call to action was to "protest to demand the end

of taxation without representation."

The particular bone ofcontention was Gov. Quinn's then-proposed tax increase, described
thusly: "Governor Quinn says he must raise your income tax because he
doesn't have enough money to pay for all the social welfare benefits

demanded by the illegal alien invaders."

Plain Text Author: 
Esther Cepeda