Speaker Paul Ryan's House seat in Janesville, Wisconsin- improving economy in a U.S. midwestern factory town and the debate on trade, help for working class families

08/10/2016

The unemployment rate in Janesville, Wisconsin drops to 4.4% in May 2016, according to the Bureau of Labor Statistics. It was over 9% following the closing of the GM plant and the recession from the 2008 financial crisis. A working class town Janesville was hit hard by the closing of the GM plant in 2008. Amy Goldstein of the Washington Post describes the impact of losing about 5000 jobs at the GM plant, and the problems typical of most manufacturing dependent towns. Throughout the period since being first elected to Congress in 1998 Ryan has continued to be able to get elected on the basis of faith, family and public service, even though some of his policies may not have helped the poor and elderly or laid off workers. Ryan voted for rescuing the auto industry and worked hard to keep the GM plant, and listens to his constituents, and as the economy recovered by 2016 won easily in this old industrial midwestern town. His influence in national politics gives Janesville an opportunity to be heard, as it tackles problems common to many midwestern towns in the U.S.

Linked Articles

Could Paul Ryan’s ideas help his struggling home town? - The Washington Post

Washington Post 08/19/2012

Amy Goldstein, Amy, Goldstein

The Guardian 08/10/2016

David Smith

Goldman Sachs and U.S. regulators in 2015-2017- cutting risks in trading activity and private equity/hedge fund investments following the excessive leveraging of the 2008 financial crisis

08/04/2016

Stronger regulation takes shape through the efforts of Daniel Tarullo at the Federal Reserve and the LISSC. The situation with Goldman Sachs, one of the highly leveraged banks during the 2008 financial crisis still hoping to earn high profits with large trading activities.

Linked Articles

At Goldman Sachs, Stress Test Results Could Endanger an Important Profit Source

New York Times 03/08/2015

Nathaniel Popper, Nathaniel, Popper

WSJ 08/04/2016

Liz Hoffman

Rules for bonuses and executive pay in the UK, U.S. and EU for banks and financial institutions in 2015-2016- restoring trust and ensuring soundesss of banks

04/22/2016

Linked Articles

New Rules Curbing Wall Street Pay Proposed

Wall Street Journal 04/22/2016

Donna Borak, Donna, Borak, Andrew Ackerman, Andrew, Ackerman, Christina Rexrode, Christina, Rexrode

Wall Street Journal 04/22/2016

Donna Borak, Donna, Borak, Andrew Ackerman, Andrew, Ackerman, Christina Rexrode, Christina, Rexrode

Brazil's economic and political crisis in 2016 following corruption scandals, the collapse of commodity prices, and a budget deficit of 10.8%

04/19/2016

Linked Articles

Dilma Rousseff looks increasingly likely to be impeached

Economist 04/19/2016

Economist.Com

Wall Street Journal 04/19/2016

Ruchir Sharma, Ruchir, Sharma

2016 U.S. presidential candidate Jeb Bush's Tax Plan that spells out details, and takes a shot at 4% growth for restoring lost social and economic mobility in the U.S.

09/09/2015

The efforts to wrestle with the deficit in 2011-2012 led to a vigorous debate on changing the tax code, yet political leaders failed to take up new ideas or spell out the details. Jeb Bush, with advisors Martin Feldstein and Kevin Warsh, takes the unconventional approach of putting in the details, and taking up ideas such as the idea of limiting itemized deductions to 2% of adjusted gross income proposed by Feldstein in that debate. On the $2.1 trillion in income held overseas by U.S. companies Bush proposes 8.75% tax paid over 10 years. On business investment he proposes capital investment be allowed to be deducted in full immediately. It is based on the idea that business investment can drive a vigorous recovery, that workers bear 50% of the burden of higer taxes through sluggish wage growth. It levels the playing field for debt and equity capital, removing "carried interest" provision, as a lesson from the excessive leverage taken by financial institutions in the past.

Linked Articles

The Bush Growth Plan

Wall Street Journal 09/10/2015

Editorial

New York Times 09/09/2015

Alan Rappeport, Alan, Rappeport, Matt Flegenheimer, Matt, Flegenheimer

The huge contrast between Chancellor Merkel's approach and the approach of Obama and Cameron to the Syrian refugee crisis

08/20/2015

The German chancellor will be remembered in history for the way she handled the Syrian refugee crisis in 2015, and for the courage to say, "if Europe fails on the question of refugees, its close connection with universal civil rights will be destroyed." Reports in the Guardian newspaper say Germany is likely to accept about 1 million refugees in 2015. Chancellor Merkel says about 800,000 refugees will be admitted in 2015. Contrast this with the UK reports the Guardian which has 166 refugees admitted to the UK, and reports in the WSJ that about 1500 refugees have been admitted to the U.S.. Merkel has taken on the challenge in a spirited way as Europe faces anti-immigrant sentiment and rallied German society in a way that is remarkable. The withdrawal of the Obama administration from the Middle East led to the collapse of the fragile situation in Libya, Iraq and Syria, and the unravelling of these countries, leading to the current refugee crisis with about half of the Syrian population dislocated and large parts of the population of Libya, Iraq, and Kurdish regions dislocated.

Linked Articles

U.S. Pressed to Take More Syrian Refugees

Wall Street Journal 09/05/2015

Felicia Schwartz, Felicia, Schwartz

Washington Post 08/20/2015

Rick Noack, Rick, Noack

The contrasting views about the Greece crisis in July 2015

07/18/2015

Linked Articles

Minister in Germany Discusses Greece Role

New York Times 07/18/2015

Alison Smale, Alison, Smale

Economist 07/19/2015

Economist.Com

German experts and public opinion who see Greece's exit from the eurozone as the best thing for the euro in July 2015 (1)

07/07/2015

Chancellor Merkel's statement that the the Euro is the EU, now place more emphasis on building a strong future for the euro. Experts in Germany believe the euro is better off without Greece by July 2015. As the WSJ editorial points out political contagion is now a bigger threat to the euro, with euro skeptic parties joining populist parties with no committment to the common currency and its basic rules.

Linked Articles

German Finance Chief’s Hard Line on Greece Limits Angela Merkel’s Room to Maneuver

Wall Street Journal 07/09/2015

Anton Troianovski, Anton, Troianovski

New York Times 07/07/2015

Jochen Bittner, Jochen, Bittner

The difficult dynamic between eurozone negotiator Dutch finance minister Dijsselbloem and Greece's negotiator Varoufakis that led to the collapse of talks on June 25, 2015- leading to the referendum and the Third Bailout program

07/02/2015

Linked Articles

Hopeful Start to Greek Debt Negotiations Quickly Soured

New York Times 07/02/2015

Landon Thomas Jr., Landon, Thomas, Jr.

Wall Street Journal 07/17/2015

Gabriele Steinhauser, Gabriele, Steinhauser

Hard realities- what a Greek exit from the eurozone in 2015 could do for Greece and for the European Union

04/29/2015

The Economist says Greece could end up becoming a failed state at the doorstep of the European Union. With the major parties losing support extreme parties on the right and left would increase support. The economy of Greece would suffer serious damage. As prices have declined by 16% with no surge in exports, a devaluation of the drachma would not be of much help. Argentina went through a period of severe hardship following the default on the currency. Greece, says the Economist, may be engaging in a strategy to extract concessions from the EU by waiting till the last minute. Yet this strategy has its drawbacks because of the damage to Greece's economy in the process, with the slight growth under the Samaras administration turning into a recession with the 6 months of the Syriza government in 2015.

Linked Articles

What Greece Faces if It Defaults

New York Times 04/29/2015

Uki GoÑi, Uki, GoÑi

Economist 06/20/2015

Economist.Com

Brazil's debt crisis and economic slump in 2015-2016

04/03/2015

Linked Articles

Brazil’s coming recession: The crash of a titan

Economist 04/05/2015

Economist.Com

Wall Street Journal 04/03/2015

Carolyn Cui, Carolyn, Cui

The 39% drop in Russia's auto sales in 2015 with the economic crisis- withdrawal of GM and other manufacturers

02/10/2015

Linked Articles

GM to Close Russian Assembly Plant

Wall Street Journal 03/19/2015

Jeff Bennett And John D. Stoll, Jeff, Bennett, And, John, D., Stoll

Wall Street Journal 02/10/2015

Andrey Ostroukh And Olga Razumovskaya, Andrey, Ostroukh, And, Olga, Razumovskaya

Russia and global financial markets in 2014-2015- a disconnect between an economy connected to the global economy and separation from a postwar order of international cooperation within a global economy

01/29/2015

Linked Articles

Stopping Putin Without Firing a Shot

Wall Street Journal 02/11/2015

Roger C. Altman, Roger, C., Altman

Wall Street Journal 01/29/2015

Richard Barley, Richard, Barley