From Bloomberg:
President Donald Trump’s administration is considering a new tactic to discourage China from undervaluing its currency that falls short of a direct confrontation…
“Who Will Pay for the Wall?”
That’s the title of a new post written by me, on Econofact. Short answer to the question posed: not likely just the Mexicans…
WaPo: Federal agents conduct immigration enforcement raids in at least six states
From the article:
Officials said the raids targeted known criminals, but they also netted some immigrants without criminal records, an apparent departure from similar enforcement waves during the Obama administration. Last month, Trump substantially broadened the scope of who the Department of Homeland Security can target to include those with minor offenses or no convictions at all.
Exchange Rate Prediction Redux
That’s the title of a new European Central Bank working paper (coauthored with Yin-Wong Cheung (City U HK), Antonio Garcia Pascual (Barclay’s), and Yi Zhang (U. Wisc.)) just released.
Killing Nafta: Making Japan, Germany (and Korea) Great Again…
From Head and Mayer, “Brands in motion: How frictions shape multinational production”, an examination of how the auto industry fares if Nafta is terminated:
In the end-of-NAFTA scenario, depicted in orange in Figure 7, all three members reduce [auto] production.
The Nominee for the Chairman of the President’s Council of Economic Advisers
[blank space here]
The President Asks a Good Macroeconomics Question
But he asks it at 3AM, and asks General Flynn.
Coretta Scott King’s Letter Opposing Sessions’s 1986 Federal Nomination
Since the Senate Majority Leader has closed down “the greatest deliberative body in the world” by invoking Rule XIX against Senator Elizabeth Warren, I take the opportunity to share what Mitch McConnell was so afraid to have heard.
A quote:
“Anyone who has used the power of his office as United States Attorney to intimidate and chill the free exercise of the ballot by citizens should not be elevated to our courts.”
Paying for the Wall/Fence: Tariff Edition
Tax reform (DBCFT) will not pay for the wall. A remittances tax will not yield sufficient revenues, except perhaps over many years. What about a tariff?
Quantifying Economic Policy Uncertainty since November
Economic policy uncertainty as measured by the Baker, Bloom, Davis news-based index is definitely higher than pre-election.