Economy
Obama Lays Out Economic Recovery Plan; Republican Leaders Respond
In his first policy speech since the election, President-elect Barack Obama laid out his “American Recovery and Reinvestment Plan” to stimulate the economy by pumping money into infrastructure, alternative energy, technology and aid to states.
Speaking at George Mason University in Fairfax, Va., he warned of the hard times to come and emphasized the urgent need [...]
Obama’s Economic Plan Not Bold Enough for WSJ
President-elect Obama’s big economic speech today details all the problems the economy faces, and he predicts dire consequences if the government doesn’t act now - and in a big way. If nothing is done, Obama warns, the recession could linger for years. It’s all part of his effort to drum up support for his massive [...]
More Empty Space at the Mall; Life Gets Harder for Bored Teens
The bursting of the retail bubble that we discussed on Monday continues, and at a faster pace than expected. Mall vacancies reached a 10-year high in the fourth quarter of last year, Bloomberg reports. Things are only expected to get worse, according to research firm Reis Inc.
From Bloomberg:
Regional mall vacancies rose to 7.1 percent last [...]
The Paradox of Thrift
Has the economy scared you into cutting back on your spending, paying down your credit cards, getting your budget in order? Good for you, but bad for the country’s financial health, the Wall Street Journal points out today. Big-spending Americans have dramatically changed their habits, and economists expect the savings rate, which has dipped below [...]
Bush Legacy Watch
The New York Times takes stock of the economy’s dreadful year:
In a mere 12 months, the Dow Jones industrial average plunged 4,488.43 points, or 33.8 percent, its most punishing loss since 1931. Blue chips like Bank of America, Citigroup and Alcoa lost more than 65 percent of their value. The broader Standard & Poor’s 500-stock [...]
Banks with Deep Pockets Dodge Foreclosure Damages
The fight that neighborhoods in Cleveland are launching against banks that dump vacant and vandalized foreclosed homes back onto the real estate market received a bit of a setback, as I noted in my story Monday. A private, non-profit housing advocacy group had filed suit in local housing court to force the banks to clean [...]
Hard Times Hit the Blackjack Table
We were talking Monday about the unexpected effects of the foreclosure crisis, like skateboarders in California taking advantage of empty swimming pools behind vacant homes to practice their craft. Here’s another: Gambling is falling in popularity as more people choose instead to pay their bills, Bloomberg reports. That means tough times for Atlantic City, where [...]
Auto Suppliers Hit in Downturn
If auto manufactures fail, spin off industries could cut thousands of jobs. In all, some 2.5 million workers could lose their jobs.
The Sob Stories of Madoff’s Wealthy Victims
Speaking of Bernard Madoff — and who isn’t, these days? — the inevitable next chapter of this saga is the first-person tales of woe from his wealthy victims. The Daily Beast steps right up with a piece by Alexandra Penney, a New York artist, and former editor of Self magazine, which seems somehow fitting.
Did I [...]
Obama Urges Administration and Congress to Keep Working on Auto Deal
President-elect Barack Obama released the following statement this morning on Congress’ failure to reach an agreement on a federal bailout for the “Big Three” auto manufacturers:
