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Download the Testimony in PDF form Chairman Cotton, Ranking Member Cortez Masto, and distinguished members of the Economic Policy Subcommittee of the Senate Committee on Banking, thank you for convening this hearing on “Economic Mobility: Is the American Dream in Crisis?” I am a visiting fellow at the American Enterprise Institute, a fellow at the National Review Institute, a senior editor at National Review, and a columnist for Bloomberg Opinion. This testimony reflects my own views and not those of any organization with which I am affiliated. It is an honor to be testifying before you. Our topic today, economic mobility, has Read More >>
Wed, Jul 17, 2019
Source: Marc Thiessen Category: MARC THIESSEN
Download the Testimony in PDF form Chairman Cotton, Ranking Member Cortez Masto, and members of the committee: Thank you for the opportunity to testify today. It is very encouraging to see this subcommittee take up the crucial question of economic mobility, and seek to understand it from a variety of angles and perspectives. We Americans have always prided ourselves on the extraordinary degree of mobility this country has made possible for its citizens—the idea that, with hard work and a little luck, an immigrant or a child of poor parents can start out with nothing and end up successful and rich. We still Read More >>
Wed, Jul 17, 2019
Source: Marc Thiessen Category: MARC THIESSEN
Join us for the Policy Simulation Library (PSL) DC meeting hosted by AEI's Open Source Policy Center to learn how computational simulation models are used to inform public policy decision-making. After updates from PSL contributors and users, Alexandra Minicozzi will present HISIM2, the new health insurance simulation model from the Congressional Budget Office (CBO). HISIM2 generates estimates of health insurance coverage and premiums and is used for the CBO's budget projections. Everyone is welcome to the PSL DC meeting regardless of technical knowledge or experience, although please expect modeling code and results to be presented. To learn more about PSL, visit www.PSLmodels.org and Read More >>
Tue, Jul 16, 2019
Source: Marc Thiessen Category: MARC THIESSEN
Presidents, politics, and the Federal Reserve Board governors: Is there a new PhD standard?
Good morning and welcome to today's AEI policy event, “Presidents, Politics and Federal Reserve Board Governors: Is there a new PhD standard?” My name is Paul Kupiec. I am an AEI resident scholar and the organizer of today's event. President Trump has had a particularly difficult time finding and confirming Federal Reserve Board governors. This past spring, two potential nominees were vigorously attacked in the press and both were forced to withdraw their names from consideration. A common line of attack was that these individuals lacked the proper “qualifications” for the job. Presidents, politics, and the Federal Reserve Board governors: Is there Read More >>
Tue, Jul 16, 2019
Source: Marc Thiessen Category: MARC THIESSEN
The longstanding debate over whether capital gains taxes should be indexed for inflation has resumed in full force. The arguments are familiar and the principles are unchanged. Indexing capital gains taxes by regulation would still be a mistake. In late June, the Trump administration began taking another look at the idea of issuing a regulation to index capital gains taxes without Congressional approval. (The administration considered similar action a year ago, but ultimately did not move forward). Last week, 15 members of the Senate Democratic Caucus urged the administration not to issue an indexation regulation. However, the president is reportedly ready Read More >>
Tue, Jul 16, 2019
Source: Marc Thiessen Category: MARC THIESSEN
The Pentagon, looking northeast with the Potomac River and Washington Monument in the distance, Master Sgt. Ken Hammond/U.S. Air Force
A strong U.S. military rests upon broad, bipartisan support among the American people translated through their representatives in Congress. Yet, amid the onset of great power competition and a generational conflict against jihadis, the Pentagon's atrophied outreach to Congress has undermined support for the U.S. military. The Pentagon, looking northeast with the Potomac River and Washington Monument in the distance,Master Sgt. Ken Hammond/U.S. Air Force Although the Pentagon's “Year Without a Briefing” has rightly garnered a great deal of attention, the American public isn't the only audience getting the cold shoulder from the Department of Defense. The Pentagon has failed to treat Read More >>
Tue, Jul 16, 2019
Source: Marc Thiessen Category: MARC THIESSEN
KOBANE, SYRIA—President Donald Trump entered office promising to reduce if not end America's military engagement in the Middle East. “Great nations do not fight endless wars,” he declared. Trump appears determined to keep his promise. In December 2018, he surprised his national-security team when he announced that he was going to pull troops out of Syria. “We have defeated ISIS in Syria, my only reason for being there,” he explained. “Our boys, our young women, our men—they're all coming back, and they're coming back now. We won. And that's the way we want it, and that's the way they want Read More >>
Mon, Jul 15, 2019
Source: Marc Thiessen Category: MARC THIESSEN
The economics team at Goldman Sachs has made another run at trying to determine whether official statistics are undermeasuring America's rapidly evolving digital economy. The bank now believes even more strongly that “technological change is not fully reflected in the real output statistics.” From a bottom-up perspective, there's all that missing growth from free digital goods. From a top-down perspective, Goldman economists note that the “growth of domestically generated profits and incomes (GDI) is outpacing that of GDP, a departure from earlier decades” and that “US profits generated in tax havens totaled over $300bn in 2018, some of which represents unmeasured Read More >>
Mon, Jul 15, 2019
Source: Marc Thiessen Category: MARC THIESSEN
AEIWhy America could be growing faster than you think. Maybe much faster, thanks to Silicon Valley The economics team at Goldman Sachs has made another run at trying to determine whether official statistics are undermeasuring America's rapidly evolving digital economy. The bank now believes even more strongly that “technological change is not fully reflected in the real output statistics.” From a bottom-up perspective, there's all that missing growth from free digital goods. From a top-down perspective, Goldman economists note that the “growth of domestically generated profits and incomes (GDI) is outpacing that of GDP, a departure from earlier decades” and that “US Read More >>
Mon, Jul 15, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
AEIPeter Thiel and the populist right's embrace of broken capitalism theory When, in a speech Sunday, Peter Thiel wasn't lamenting Silicon Valley's failure to produce a working warp engine or musing about “seemingly treasonous” actions by Google executives, he was suggesting a familiar economic argument. Well, familiar on the left ⁠— at least until the populist surge on the right. It's an argument easily summed up by this chart from economist Robert Lawrence, one included in a recent paper by my AEI colleague Michael Strain, “The Link Between Wages and Productivity Is Strong”: The intended take-away from the above chart is that Read More >>
Mon, Jul 15, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
Proponents of government-run health care sometimes frame the reform debate as a choice between universal coverage and a “free market” that leaves many people without needed medical services. This is a misleading depiction of the options. It is possible to provide universal coverage with privately-administered insurance plans, as demonstrated by Switzerland. The central unanswered question in the U.S. health system is how to discipline costs. The choice is between reliance on regulatory controls put in place by the federal government or injection of stronger financial incentives for consumers into the markets for medical services and insurance. Stating that cost control is the Read More >>
Mon, Jul 15, 2019
Source: Marc Thiessen Category: MARC THIESSEN
The federal Pell Grant program, once reserved for low-income college students, is increasingly providing aid to middle-class families. It's a radical transformation, worth billions of dollars annually, and it occurred with hardly any debate at all. You might even call it an accident. Recent proposals from relatively moderate Democrats like Pete Buttigieg or the think tank Third Way would go even further by providing Pell Grants to many families earning $100,000 or more. But these candidates and advocates are not upfront about this fact. Instead they simply call for doubling or tripling the maximum Pell Grant, an agenda that most people Read More >>
Mon, Jul 15, 2019
Source: Marc Thiessen Category: MARC THIESSEN
AEIBashing Bitcoin: Why Trump should reserve judgment on cryptocurrencies, including Facebook's Libra So what's behind President Trump's Thursday evening, out-of-the-blue Twitter attack on cryptocurrencies? His dislike was pretty definitive. Trump disputed that they're anything like money and accused them of facilitating crime. And he didn't let Facebook's Libra off the hook, either, saying it will have “little standing or dependability.” One of the president's followers joked that he sounded like an investor who'd missed Bitcoin's late 2018 low. US President Donald Trump speaks during a “social media summit” meeting with prominent social media figures in the East Room of the White House Read More >>
Fri, Jul 12, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
AEIWhen conservative pundits attack social media bias, the facts are often the first victims Op-ed writers usually don't write their own headlines, but this one from activist Charlie Kirk's piece in The Washington Post neatly sums up a strangely persistent tech policy error on the right: “It's time to treat tech platforms like publishers.” US President Donald Trump greets Charlie Kirk before participating in a forum called Generation Next at the Eisenhower Executive Office Building in Washington, US, March 22, 2018. REUTERS/Leah Millis Kirk wrongly claims that in order for conservatives to fight “progressive hegemony” in social media, companies like Facebook and Twitter Read More >>
Thu, Jul 11, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
AEIIs it too late to cancel Trump's unwise ‘social media summit'? President Trump tweets this morning that a “big subject today at the White House Social Media Summit will be the tremendous dishonesty, bias, discrimination, and suppression practiced by certain companies.” Now Trump didn't name names, but he almost certainly means Google, Facebook, and Twitter given his past comments and them not getting an invite. (So rest easy, for now, Snapchat and TikTok.) Then again, what purpose would be served by the attendance of company representatives at an event a) spawned by such a flimsy premise and b) intentionally designed to generate Read More >>
Thu, Jul 11, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
AEIIs this a good US economy or not? President Trump tweeted last week, “The Economy is the BEST IT HAS EVER BEEN!” And that was before the release of a surprisingly strong June jobs report. Non-farm employment increased 224,000 in June, easily topping expectations of 165,000. “Well this is awkward” is how JPMorgan summed up the collective forecasting miss, as well as the disconnect between strong business hiring and the “downbeat message” being relayed by business surveys. Capital Economics It's also awkward for Democrats hoping to take Trump's place in the Oval Office come January 2021. Not only is the economy continuing to Read More >>
Tue, Jul 09, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
AEIThere still isn't a good alternative to liberalism or, if you prefer, democratic capitalism George Will asks in this new book, “The Conservative Sensibility,” the following question: What is it, exactly, that conservatives seek to conserve? His “concise but deceptively simple answer” is that American conservatives seek to conserve the American Founding and the liberalism that infused it. Liberalism is also the subject of a new Martin Wolf column in the Financial Times, which begins with this definition of the term: Liberalism is not a precise philosophy, it is an attitude. All liberals share a belief in individual human agency. They trust Read More >>
Mon, Jul 08, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
AEISome in Washington are attacking Section 230, the law that created the modern internet. But many of these critics have their facts wrong. The internet has many progenitors, but Chris Cox and Ron Wyden probably belong on a short list of the most important. When both were in Congress back in the 1990s, they wrote Section 230 of the Communications Decency Act of 1996. As Jeff Koseff writes in the new book, “The Twenty-Six Words That Created the Internet,” that seemingly simple provision “created the modern internet … that relies on content created not only by large companies, but by users.” Read More >>
Mon, Jul 08, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
AEIScott Kupor on venture capital and how to get it: A long-read Q&A Does America need venture capital to achieve high rates of economic growth? How can budding start-ups get it? And what do the big tech firms of the future look like to investors today? On this episode, Andreessen Horowitz's Scott Kupor discusses his new book “Secrets of Sand Hill Road: Venture Capital and How to Get It.”  Scott Kupor is managing partner at the Silicon Valley based venture capital firm Andreessen Horowitz. He also teaches courses on venture capital and corporate governance at Stanford Law School and the Haas School Read More >>
Fri, Jul 05, 2019
Source: James Pethokoukis Category: JAMES PETHOKOUKIS
Wed, Jul 03, 2019
Source: Mark Krikorian Category: MARK KRIKORIAN