The Federal Reserve recently announced another increase in the target interest rate for federal funds to 3-3.25%. The point is to slow the economy in order to reduce inflation. It's a balancing act of the Fed's twin mandates – maximizing employment and keeping inflation at bay.
On September 28, Hurricane Ian made landfall along the southwest Florida coast causing severe wind damage and flooding. The loss of life and human suffering is of paramount importance and should be the primary concern, as well as enormous emotional losses. In addition, the storm will have a significant impact on the economy, which could rise if there is significant additional damage in South Carolina.
Dr. Perryman explains the consequences of the ECB's move to fight inflation.
Among the most widely discussed economic phenomena in our post-pandemic world is the so-called "Great Resignation," a phrase used to describe what seems on the surface to be unusually high numbers of people leaving their jobs after the arrival of COVID-19.
Data recently released by the US Centers for Disease Control and Prevention (CDC) indicates that US life expectancy has once again fallen, with COVID-19 a primary culprit. The life span which could be expected for someone born in 2021 fell to 76.1 years, the lowest since 1996. For males 73.2 years could be expected, with 79.1 years for females.
In a disappointing but not unexpected development, US standardized test scores are showing a notable ongoing learning loss. Results from the National Center for Education Statistics indicate that average scores for age nine students in 2022 fell significantly compared to 2020. The five-point drop in reading, from 220 to 215 on a scale of 500, was the largest average score decline since 1990. In math, scores fell for the first time ever – seven points (from 241 to 234).
Dr. Perryman explains some of the complications with the program and why it may not gain much traction.
Despite the importance of its energy, food, and fiber, the Texas economy is increasingly services oriented. This outcome is not surprising given the sophisticated nature of the state's industrial base; it's a pattern common to every highly developed economy. Let's examine past and expected future trends.