Actions like this call into question the assurances given to Congress and the American public by current Fed Chairman Ben Bernanke, who in 2010 stated firmly that the central bank was not going to finance U.S. debt through its operations.
The government of Illinois was forced to settle with the U.S. Securities Exchange Commission this week following allegations that state officials purposefully misled investors of pension system debt about the risks of those assets.
While it’s unclear as to whether or not the Ryan budget proposal will pass, the differences between it and Democratic ideas suggest that the ongoing U.S. fiscal debate is far from over.
An email has been leaked from the U.S. Department of Agriculture that suggests mid-level administrators are being advised not to “contradict” what Obama administration officials are saying about the severity of the across-the-board budget cuts known as sequestration.
A troubling report from the International Monetary Fund (IMF) released late last month suggests that the aftershock of the U.S. government spending reductions known collectively as sequestration could pose serious problems for the wider global economy.
The Wall Street Journal’s Jon Hilsenrath reported on February 20 that several members of the FOMC remain fearful the the Fed’s easy-money policy could one day lead to rampant inflation when the U.S. job market begins to improve.
Due to the complex nature of the U.S. government’s contractor and sub-contractor chain of vendors, millions of workers could potentially be affected.
Hoping to illustrate the economic dangers that the U.S. budget sequestration poses, the Obama administration published an outline on February 24 that detailed how the cuts would specifically impact the state of Georgia.
Without consistent inspections, meatpackers won’t be able to do business as efficiently, which could cut profits and hurt the wider economy.
Given the relatively large private defense sector in the United States, these cuts could create unpredictable consequences for the U.S. economy as a result of 800,000 consumers seeing significant reductions in their pay.