News Links for 11 February 2013
[ismember]Fiscal policy and the (delayed?) federal-state divergence | FT Alphaville
"The contribution of federal fiscal policy in the recovery, on the other hand, ran ahead of the prior recessions’ average for a while, helped especially by the stimulus funds (the overall effect would be even more noticeable if tax cuts and transfers were included in the charts). But it later turned negative, and the problem has been exacerbated this year by the fiscal cliff agreement, most notably including the terrible idea of allowing the payroll tax cut to expire.
Unfortunately, unless avoided, the sequestration cuts that are set to take effect in March would also affect state governments through the various avenues we discussed earlier — and perhaps keep them alongsid...
As this site is now reader-supported via Patreon, the remainder of this article is only available to subscribers at a specific patronage level. Articles at patronage levels BRONZE, SILVER, and GOLD are denoted by the categories in blue capital letters above the post. Posts categorized DAILY are available to both SILVER and GOLD patrons.
Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty five years of business experience. He has also been a regular economic and financial commentator in print and on television for the past decade. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College.