California’s superwealthy progressives seem intent on destroying middle-class jobs.

The 2012 presidential race will be, in part, a showdown between two different models of economic growth. President Barack Obama and his Democratic administration will defend the once-discredited and now-resurgent theory that government must act as the economy's "tutor" and use public funds to stimulate it. The Republican nominee, almost certainly Mitt Romney, will advance the free-market argument that the main source of new... More

If insanity is doing the same thing again and again but expecting a different outcome, then the federal government’s strategy for keeping higher education affordable is crazier than Norman Bates.

Along with more capital and less leverage, we need to address one the of root causes of the crisis — the culture of the financial-services industry, which, make no mistake about it, is still broken.

For the first time since the Great Depression, more are going back to Mexico than are coming here. Pew estimates that 1.4 million Mexicans came to America in the five years ended in 2010, while the same number and their U.S.-born children returned home. At about the same time, Obama has showered so much federal largess on the Hispanic community to shore up support for the Latino vote.

America has the most creative and efficient oil industry in the world. Why doesn’t the president understand that?

 The potential yobization of the American working class represents far more than a political issue. It threatens the very essence of what has made the U.S. unique and different from its mother country.

There is no evidence that rising crude oil prices were caused by market manipulation, and there is no reason to expect increased oversight to lower gas prices across America.

The question the Volcker Rule ultimately has to answer is “Who gets to stay under that umbrella of government safety?” Put another way, “how much risk taking in service of market efficiency are American’s willing to backstop?”

Finance-heavy New York must recapture its economic diversity.

We don't need to repeal Dodd-Frank to fix at least part the problem created by the many contradictions in the act. Instead, regulators should use their discretion under Dodd-Frank to act without discretion. In doing so, career regulators can rescue their reputation back from Congress.

The next series of major cities and counties in danger of defaulting on their debt can hardly point to one single decision for their malaise. Whether it be Detroit, Miami or Providence, Rhode Island, their problems have a lot more to do with financial policies that put them on course to live well beyond their means.

Inefficiency dooms government efforts to boost employment.

While municipal corruption and mismanagement cases have led to millions of dollars being stolen from city coffers, the biggest toll is often the enormous bills from attorneys who are paid by the hour to clean up the mess. In some cases the bills pile up for years.

It's difficult to be a good economist and simultaneously be perceived as compassionate. To be a good economist, one has to deal with reality. To appear compassionate, often one has to avoid unpleasant questions, use "caring" terminology and view reality as optional.

Mayors and chief administrators in some big name, "fiscally challenged" communities need to parse their words more carefully when they make public assertions about their financial problems. I'm hearing some loose talk about "bankruptcy" and "insolvency" in various parts of the country. Sometimes these words are used by politicians while the city's financial officers are telling bond ratings agencies that everything is ... More

If the nation truly wants to address the wild roller coaster of price swings, it's important to understand the factors that affect prices.

There is good reason to believe that higher rates on capital gains and dividend income would have negative effects on the U.S. economy by reducing the overall level of U.S. investment and by driving such investment to overseas markets. Higher tax rates would reduce economic activity and, thus, economic growth, by reducing available financing for private companies, innovators, and small firms just getting started.

Some political figures are suggesting that the key to solving the private sector retirement crisis is by having government pension funds run retirement accounts for private business. This is a plan  that invites all sorts of political manipulation. States have a terrible track record with their public employee plans, which have left taxpayers with huge liabilities because lawmakers granted overly generous... More

Richard Riordan was right—and it’s about time Mayor Villaraigosa admitted it.

A new report by the Government Accountability Office shows that states and localities will continue to see their financial condition slide  if they fail to enact meaningful reforms soon.

This suit by the Justice Department does not fall into the classical model where competitors agree on common prices in cartel like fashion. What is at stake here is the pricing models that will be used to determine prices.

Some cities are now offering a bevy of tax incentives and subsidies to grocery stores willing to locate themselves in  putatively underserved areas.In many cases, these policies are thinly veiled behavior-modification schemes or sweetheart subsidies for connected businesses.

While Washington debates taxes, critical tax policy choices are already being made around the country in the states.

Zirp, or zero interest rates from the Fed, is not a cure. It is an anesthetic. Zirp doesn't fix the economy; it puts it in a state of suspended animation.

With the Federal Reserve, the European Central Bank and other authorities in industrialized countries already stretching the limits of monetary policy, pressure has risen for them not go any further, and even to begin pulling back. Top officials have had to rely increasingly on jawboning - not always successfully - to convey to financial markets how they intend to manage their economies.

Given the decline in religious observation in industrialized counries, one might conclude that the historic link between religious faith and material progress — so central to the work of Max Weber – has been irretrievably broken. Yet in reality, the religious connection with economic growth may be still far more important than is commonly supposed.

As the economist Joseph Schumpeter pointed out long ago, capitalism has given us the time and energy to criticize capitalism.

As is well known, America was the world’s leading exporter virtually every year during the latter half of the 20^th century, losing that title to Germany only in 2003, and later falling behind China. New circumstances thus prompt the question: Might we someday regain that honor? If so, how will this shape American foreign policy, jobs, education, politics and poverty?

Philip Auerswald argues that entrepreneurs will spark growth worldwide.

They distort behavior, leading to economic inefficiencies.

For the past decade, the venture capital industry has been in decline. In 2010, the real dollar amount of money the industry raised from its limited partners was 44 percentof 2001 levels; the number of active venture capital funds was 63 percent; and the number deals venture capitalists undertook 73 percent.

Searching for higher returns to bridge looming shortfalls, public workers’ pension funds across the country are increasingly turning to riskier investments. But while their fees have soared, their returns have not. In fact, a number of retirement systems that have stuck with more traditional investments in stocks and bonds have performed better in recent years, for a fraction of the fees.

In recent years, the country has seen something of a tax-the-rich derby among states enacting so-called "millionaires' taxes" on top earners. Hawaii, New Jersey, New York, Oregon and Maryland all raised rates on high earners during in the 2000s. California's rates were high already.