Daily Economy

Monday, September 14th, 2015

As our research fellow Jia Liu pointed out last week, the Federal Open Markets Committee already has all the major information on the economy that it will receive in advance of its two-day meeting that starts on Wednesday.

Nevertheless, there are a few data points that will come out just before and during the meeting, as they deliberate whether to raise interest rates this month.

Friday, September 11th, 2015

Despite a series of upbeat data on the economy, consumer sentiment was markedly down in new data out late this week. Our senior research fellow, Bob Hughes, says that is likely a psychological reaction to the recent market volatility, and is probably a fleeting phenomenon.

Thursday, September 10th, 2015

Like for most Americans, buying a car has always been a stressful but necessary personal finance decision for me. This time around, now with the backing of an education and work experience in economics, I was able to take a more methodical, informed approach to one of life’s bigger expenditures

Wednesday, September 9th, 2015

The Federal Open Market Committee’s decision at its September meeting of whether to raise interest rates will come down to one question: how Fed officials weigh the long-term trend of economic growth versus short-term market fluctuations.

Tuesday, September 8th, 2015

As the Summer Fellowship Practicum wrapped up last week, we are excited to learn that two of this year’s fellows have either lined up a job or paid internship already.

Friday, September 4th, 2015

Today's Employment Situation report from the Labor Department was a mixed bag, featuring plenty of positive details under a disappointing headline jobs number.

Thursday, September 3rd, 2015

AIER Research Fellow Luke Delorme’s work has been published in the September edition of two prominent investment journals. His piece in the monthly magazine of the American Association of Individual Investors questions the conventional wisdom of “safe” investing as retirees age. And his article, “A Blueprint For Retirement Spending,” was published in the September edition of the Journal of Financial Planning.

Wednesday, September 2nd, 2015

The Fed will no doubt be looking carefully at data for August, including the upcoming Employment Situation report, for signs that recent turmoil in the global economy and capital markets may be affecting U.S. consumer or business behavior. Judging by strong auto sales and the continued low level of layoffs, it would appear that the U.S. is weathering the late summer storm reasonably well.

Tuesday, September 1st, 2015

If our economic future depends on America’s ability to innovate, we could do no better than to make the creative arts a part of every child and adult’s ongoing education.

Monday, August 31st, 2015

August marked the culmination of the first year of Money School, the collaborative financial education effort between AIER and Elizabeth Freeman Center, a Berkshire county-wide service center for domestic and sexual violence survivors. The program served 40 women from across the Berkshires in its first year.

Friday, August 28th, 2015

Conventional wisdom says that small businesses increasingly struggle in today’s economy. We have compared how smaller businesses have fared versus larger firms over time, and find at least some evidence to support that conventional wisdom.  In terms of employment and sales, small firms have not kept pace with overall economic growth.  These results hold up across many industries and geographies.

Thursday, August 27th, 2015

Today’s Gross Domestic Product report shows a stronger rebound for the U.S. economy in the second quarter, but no major shifts in the recent trends.

Wednesday, August 26th, 2015

Experienced investors know that returns ebb and flow, and volatility is the name of the game, especially when tilting a portfolio toward stocks. When the stock market is priced higher, you should reduce your return expectations.

Tuesday, August 25th, 2015

J. William Middendorf, II, a former secretary of the Navy and ambassador who was also one of the architects of the North American Free Trade Agreement, and Professor Dominick Salvatore, one of the country’s foremost experts on international economics, will speak at the American Institute for Economic Research’s campus in late August.

Monday, August 24th, 2015

On July 30th, AIER held a daylong event to teach direct service providers how to implement Money School within their organizations. Money School is a program that equips survivors of domestic violence and sexual assault with the financial literacy tools they need to become competent with knowledge, confident in their financial decisions, and connected within networks.

Friday, August 21st, 2015

This week provided a mixed bag of economic news, and the still-slow growing economy is weighing on monetary policymakers as they mull the timing of the first increase in interest rates since the Great Recession.

Thursday, August 20th, 2015

 Although conventional wisdom may suggest the answer is yes, the short answer is, not always. Some entrepreneurs just do not want to make it to the big leagues.

Tuesday, August 18th, 2015

Government policy, in the form of monetary or fiscal stimulus, may be helpful if the economy is facing a temporary slowdown in demand — and even then economists disagree on the estimate of just how effective government stimulus is.
But fiscal or monetary stimulus is very unlikely to be helpful if the slowdown in the economy is driven by a structural adjustment.

Monday, August 17th, 2015

The economic expansion has been even slower than previously understood, and while the economy is likely to keep expanding in the foreseeable future, there isn’t much pressure on wages to rise.

That’s the message from the August edition of Business Conditions Monthly, the American Institute for Economic Research’s bird’s-eye view of the economy, which was released today.

Thursday, August 13th, 2015

This morning’s retail sales numbers underscore a continued pattern of slow but steady economic growth.