Mccain Economics

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With unemployment remaining stubbornly high, and most Americans worrying about pocketbook issues like jobs, energy costs, retirement security, and health care affordability – ALEC releases its plan for Jobs, Innovation, and Opportunity. State lawmakers today face very difficult economic challenges. Since 1973, ALEC has focused on providing solutions to America’s biggest problems. State lawmakers can conquer today’s economic challenges by refocusing on our nation’s founding principles of limited government and free markets. The states, not Washington, D.C., must take the lead in restarting America’s economic engine and putting people back to work. For more information, please visit www.alec.org.

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Response one PADM-05 Mortgage interest rates are expected to rise considerably in 2018. If the economy grows too fast, The Federal Reserve will have to raise interest rates faster than expected. That could make borrowing money more expensive. If that happens, the likelihood of a recession increases. Not only would this drive up interest rates, but reduce private sector investments and diminish the country's creditworthiness. When inflation is too low, it can hurt the economy. Businesses get queasy about investing in people and equipment. If prices don't rise, wages don't either. But out-of-control inflation can also be harmful. As I see it, the current fiscal path is unsustainable. The Republican tax cuts could not come at a worse time, and I think it will hasten inflation and prematurely bring a recession. The effectiveness of mortgage interest rates rising is in my opinion, is nonexistent. It is like a dog chasing its own tail. With the passage of the tax reform bill, which essentially lowered the income tax rate, the Federal Reserve raised or is raising mortgage interest rates. So, this essentially takes the money that was saved by paying lower income tax and essentially puts it toward paying the cost associated with a higher mortgage. True, not everyone owns a home. But if you plan to buy one, this will make it considerably more expensive. The efficiency of raising mortgage interest rates is has both equal value and detriment. Keeping mortgage rates low allows more people to afford housing, stimulating the economy. By raising interest rates, the cost of owning a home is more and less people purchase homes, which is a key sign of inflation. Either way, I believe the policy on raising or lowering mortgage interest rates is ethical - the entire point is to maintain a healthy, balanced economy. The equity, or measure of fairness, depends largely on who stands to gain the most. In the case of our current economy, it's without question that that the restructuring of our tax code largely benefits the ultra wealthy. Had the entire country benefited equally from the tax reforms, then it would have been more equitable. The 2018 tax reform brought little political feasibility, as both political parties were at opposite ends of the restructure. Nonetheless, a compromise was reached. There was little social acceptability or public acceptance from this policy change, and many will end up paying considerably more tax because of it. I believe the administrative feasibility caught citizens off guard. I knew little to nothing of the tax reform until it actually happened. Whatever the case, the government reluctantly came together and enacted the policy. I do not know how technical feasibility plays into all of this, but I could only assume that the Federal Reserve had considerable reservations about the policy due to the fact that inflation will likely rise and mortgage interest rates will go up just because of it. Links: https://www.express.co.uk/ ...

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Strayer University Professor Dr. Angela Parham PAD 500 December 11, 2016 Raising minimum wage for federal contractors to $10.10 per hour. * Introduction Employment laws and regulationsHonest livingDepartments within the agencyEthical concerns Organizational ethics Federal contractors, one who works with the federal government to provide services, supplies, or other work. They are subjected to special employment laws and regulations. Right now minimum wage is only $7.25 per hour; families cannot make an honest lively with no $7.25 per hour. This is the reason why we have so many families living in poverty and on government assistance. So, why only raise minimum wage on federal contractors and not everyone who’s out to make an honestly living in today’s society. There are varieties of departments within this organization; but only the federal contractors are considered for this pay increase. Uniformed and civil service employers are to keep arm’s length relationship with contractor employees. There are many ethical concerns with raising minimum wage to $10.10 per hour for federal contractors only, but I will only explain a two and they are support and criticism. Analyzing the overall manner in which the Department of Defense and how raising minimum wage will impact their organizational ethics. * Raising Minimum Wage Minimum wage for federal contractors only Minimum wage will go from $7.25 per hour to $10.10 per hourMinimum wage should be $14.50 per hourRelief on government fundsPeople in poverty Minimum wage will only be for federal contracted workers. The wage will go form $7.25 per hour $15, 080 per year to $10.10 per hour $21,008 per year. The wage should go up to $14.50 per hour which is $30,160 per year this way people can live out of poverty. It will take $28,000 per year for someone not to live in poverty, so $14.50 per hour would put a lot of people above the poverty. Lesser people would need government assistance and if everyone was making this it could wipe government assistance out for the working and be able to help the people that really need it like the elders and veterans. * Policies SupportDomestic policy support minimum wage Establish funds for the governmentModifying policy for federal contractors Modifying policy for all workersComing out of poverty Policy generally confine the problems and issues within the country, this plays a part with the welfare of citizens of the country will be a big part of the domestic area. More taxes will be gain from workers once wages are increased their income will be to $21,008 per year instead of $15,080 per year. Raising minimum wage to $14.50 per hour would be a great accomplishment for the government. This would cut down on government assistance. A lot of government funding will be cut and then these funding would be good for education and nursing homes. Raising minimum wage to $14.50 per hour $30, 160 per year would benefit people by removing them out.

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Destination Economy addresses short-term solutions to our pressing problems while providing a long-term plan for future economic growth. This proposal would impose responsible budgeting, and lay out an environment for job creation and business growth that embraces our numerous resources. Illinois should no longer be the laughingstock of late night comedians; we should stand out as a national leader. We should stop squandering our precious intellectual and financial capital and embrace programs and initiatives that bring out the best of every region of Illinois and on Main Street. We need to create job opportunities for our children so they stay in Illinois. We want our kids to live 10 minutes away, not 10 hours. We need to declare Illinois OPEN FOR BUSINESS and Make Illinois Work Again!

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BUS626 Week 3 - Discussion Forum 2 Responses Guided Response: In your response, take the opposing view of the original post regarding national debt. Respond to at least two of your fellow students’ and to your instructor’s posts in a substantive manner and provide information or concepts that they may not have considered. Each response should have a minimum of 100 words. Support your opposing view by using information from the week’s readings. You are encouraged to post your required replies earlier in the week to promote more meaningful and interactive discourse in this discussion forum. Below are two classmates with discussion that need response. They are Lisa Schreiner and Jason Stack Lisa Schreiner A deficit is the gap when spending exceeds budget. A surplus is the gap when budget exceeds spending. The debt is an accumulation of deficits less surpluses over time. The large and increasing national debt is definitely an issue we should be concerned about. Persistent increases in debt could lead the US to a failed economy with low credit ratings from Moody’s, and a call on loans we cannot pay. During a recession, the deficit (debt overall) will increase as the US borrows funds to cover the spending gap. During an expansion, the US should decrease spending producing a surplus to lower the overall debt. In recent years, the economy has been running in expansion mode, but yet the government continues to spend, increasing the deficit and debt. This is not a sustainable practice. According to the Committee for a Responsible Federal Budget (2018), “Running large deficits when the economy is already strong means that any boost provided to the economy will be temporary, and may put unnecessary upward pressure on inflation and interest rates. Running permanent deficits means that they will increasingly hurt investment and growth over time. They cannot simply be waited out. Rising deficits are largely driven by the increasing cost of interest and health and retirement programs, which are caused by rising health care prices and an aging population. Yet even with these factors, deficits were on course to decline over the next couple years before Congress enacted fiscally irresponsible tax cuts and spending hikes” (para. 12-13). John Tamny views the national debt as a give and take, noting we are better off to have the government spending less with some debt than the government spending more and having no debt. John discusses limiting the government’s control on spending and investing into the private sector, generating technological advances and innovation to grow the economy (Tamny, 2020). After reviewing several articles and watching videos in the recommended reading section for the week, I agree, this is an issue and controlling government spending is part of the process. There are four programs consuming a significant portion of government spending: Social Security, Medicare, Medicaid, and ObamaCare. According to PragerU (2014), “to cut spendi.

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ECO105Y Micro Op-Ed Exemplars 2016-2017 1 1 Much Ado About Nothing: Rabid Reactionaries and Environmentalist Extremists Lash Out over PM Trudeau’s Altogether Lacklustre National Carbon Strategy. Prime Minister Trudeau's comments in the House of Commons early last October concerning a national carbon strategy sparked perhaps the greatest drama in recent Canadian politics. Provincial environment ministers very publically, and somewhat melodramatically, walked out of negotiations with Ottawa saying they were being subverted and strong-armed. Since then, the slinging of proverbial muck has only grown more intense, especially after the PM finally used the dreaded word “tax.” Scandalous. What critics from the left and right fail to understand is that carbon pricing is premised on basic economic concepts of negative externalities and internalization. Carbon pricing will not pull the rug out from under the Canadian economy. And what government would pursue policies that would self-sabotage? If we could all tone down the political rhetoric, we can attempt to premise this debate on facts. Industrial activity and pollution will always have negative repercussions for society. The cost of cleaning up environmental messes and the additional burden to health-care systems are negative externalities of pollution. Negative externalities are costs which stem from a lack of defined ownership concerning common goods, in this case the environment. There have been no mechanisms for ensuring that individuals pay their fair portion of environmental damage as no individual can claim ownership over the environment. Until now, that is. The entire point of carbon pricing mechanisms is to divvy up those costs and impose, or internalize, them onto polluters so that society is not left with the bill. The method of carbon pricing suggested by Trudeau is an emissions tax. Ideally, the price per tonne of emissions set by the tax equals the cost of the negative externalities of pollution. Trudeau's plan only begins to reflect the full cost, beginning at 10$ per tonne to 50$ in 2022. This is where radical environmentalists believe Trudeau is being too weak. Alternatively, provinces can implement a cap and trade system. This mechanism creates a market for emissions in which the government auctions permits for producers to pollute, with the total amount of emissions allowed by the permits equal to the province’s emissions target. Some environmentalists disapprove of this because selling “permission” to pollute is unseemly to them. Brad Wall, the firebrand premier of Saskatchewan, epitomizes the conservative stance. He argues that carbon pricing hinders business and growth while rendering Canada uncompetitive in the world market. This is quite exaggerated. The tax only seeks to reflect the true costs of doing business, which most people would agree the businesses themselves should pay. If carbon pricing ju ...

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It is now time for all members of Congress — Democrat, Republican and Independent — to support pro-American tax reform. It’s time for Congress to provide a level playing field for our workers, to bring American companies back home, to attract new companies and businesses to our country, and to put more money into the pockets of everyday hardworking people. Go to www.passtaxreform.org to learn more.

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ECON 0858 Issue Paper #1 2/27/18 Student Name (1) Position Statement Topic: Minimum Wage Laws (2) Minimum wage laws have been debated as a chief topic among legislators and economists alike, especially recently with Bernie Sander’s proclamation that it should be set to $15/hour. A higher minimum wage can stifle the growth of small businesses, and affect millions by increasing unemployment for unskilled workers, while a lower minimum wage may contribute to increased poverty or a poor standard of living for some. Under President Trump’s new tax plan, decreased income tax rates for consumers allows them to spend more money, which in turn will help small businesses, who also reap the benefits of a reduced corporate tax and capital gains tax. Because these changes may spur a growth in economic activity going forward, the current federal minimum wage of $7.25/hour should not be increased nor decreased in order to properly assess the effects of Trump’s plan. Moreover, all 50 states should adhere to the minimum wage in order to properly assess its economic impact on the U.S. as a whole. (3) Economic Arguments Against My Position: a. An increased minimum wage allows unskilled workers to contribute more to the economy. i. If workers earning the current minimum wage can take home more money, they are inclined to spend that money and contribute to small businesses and help boost economic activity. ii. Since 2012, the Fight for $15 movement helped low-wage workers gain $61.5 billion in annual raises through state and local minimum wage increases (National Employment, 2016). b. An elimination of the minimum wage will spur economic growth and create new jobs. i. A minimum wage must be set above the equilibrium price of labor in order to take effect, and its effects are seen through the U.S.’s unemployment rates. ii. In 2015, unemployment averaged 5.26%, implying that those who were unemployed could have been employed in unskilled jobs if firms could afford to hire them (Bureau, 2016). 1. Lost gains from labor trade create a need for the unemployed to enroll in government welfare programs, with 6.2 million Americans receiving $32 billion in unemployment compensation in 2016 (United States, 2018). 2. Low-wage workers receive retarded wage growth when there is a small increase in the minimum wage, compared to if there was no increase (Lopresti, 2015). iii. Companies that outsource production will bring manufacturing back to the U.S., creating jobs and utilizing land more efficiently. 1. Foreign-owned firms in Mexico and Venezuela pay workers more than their domestically-owned counterparts, which suggests that those firms (including those owned by U.S. entrepreneurs) that outsource pay foreign workers below the U.S. minimum wage but above the domestic minimum wage, if there is one (Aitken, 1995). 2. If there was no minimum wage, American companies would be incentivized.

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