Economy & Budget

In March, both the House and Senate passed budget plans. Now, President Obama has released his budget. The Congressional Budget Office and Office of Management and Budget will be scrutinizing each proposed new revenue increase, every proposed loophole and all program dollars snipped. The public is being told it must choose between Meals on Wheels for grandma or Head Start for toddlers down the street.
 
In a situation like this, wouldn’t it be great to be able to see just how each of the dueling budget proposals will affect spending for programs you actually care about? Wouldn’t you like to go to a website and see the impact of proposed cuts in your community?
 
We would.

At a time when the American people are searching for a responsible federal budget outlining pro-growth policy initiatives that Congress could enact with bipartisan support, President Obama decided to go in a different direction. Ten weeks late, the president’s budget reflects his belief in a bigger government and a citizenry dependent on it.

While most of us may not give much thought to chemistry once we have left the high school science lab, advances in the chemical industry are behind many of the new products and innovations that improve our quality of life and boost America’s economy. In fact, chemicals account for twelve percent of U.S. exports and represent the largest exporting industry in the country. Undoubtedly, there is a significant role for the government to regulate these chemicals and keep us safe; however, when the process is not open, transparent, and done in accordance with the rules, Americans lose more than just the next great product – they lose their jobs.

The horrific bombing that killed three innocents and ripped apart the lives of more than 170 people still haunted our nation this week, as a manhunt locked down Boston. A crime spree by the suspects left a college security officer dead and some 20 police officers wounded. The terrorist attack at the Boston Marathon will dominate our thoughts and prayers for days to come as events continue to unfold.

This year marks the 100th anniversary of the modern income tax, which was established through the 16th Amendment to the Constitution. Over the years, our tax code has become bloated with loopholes, regulations and exemptions and now contains almost four million words. According to the Laffer Center, it costs up to $431 billion a year simply to comply with and administer our complicated tax system. Now is the time for tax reform that makes the tax code simpler and fairer, and the majority of Americans agree.

Today, the Senate Committee on Aging is holding a hearing on the National Alzheimer’s Plan. The efforts outlined in the plan, as well as the research work shepherded by biopharmaceutical research companies, can only move forward if we have a consistent and comprehensive set of patient-centric public policies.

Today, America is facing critical fiscal and economic issues – from sustained, widespread unemployment to nearly $17 trillion in debt. It is incumbent upon the nation’s elected leaders to get the policy right, to rebuild trust with the American people, and tackle these challenges head-on. That’s why it was particularly disappointing that when President Obama sent his budget to Congress – two months later than the legally mandated deadline – he got the policy horribly wrong. Read more...

An inter-industry battle has erupted in Washington, D.C. regarding national menu-labeling requirements. National restaurant chains are lobbying to expand the application of the Food and Drug Administration’s (FDA) proposed menu-labeling regulations to convenience and grocery stores. Looking at the convenience store industry as a whole shows exactly how overly-broad regulation can crush small business owners. America’s’ food sector is simply too diverse for a blanket rule to benefit businesses or consumers. It would be fundamentally wrong to compel thousands of enterprises with different business models and niches to abide by  a single “one-size fits all” rule.

Apple appears to be a company in crisis as the stock closed at $392.05 Thursday, down a whopping 44% from its lofty heights in late September 2012. The only people happy about this move are the short sellers who are having a field day. Many have forgotten how fickle consumers can be about technology and brand loyalty is incredibly difficult to sustain. Michael Dell can attest to that.

There have been ominous signs of trouble for some time now though. Leap Wireless and their Cricket brand made a huge gamble with their purchasing commitment for $900 million of iPhones but consumer demand has been soft for the iPhone 5 and the company is likely to lose millions. Consumers have simply decided that the differences between their iPhone 4S and a newer model are rather insignificant or that better deals are to be had with the popular Samsung Galaxy line, which reached a milestone of 100 million units sold by the end of last year.

So where did it all go wrong for a cash-rich company with so many Apple converts worldwide? A recent apology by Apple CEO, Tim Cook, to China, was indicative of Apple’s recent frustration with slowing sales and perhaps missed opportunities in the most rapidly expanding nation. Business penetration has been extremely lacking, which is quite surprising given the superiority of their server technologies. Moreover, in terms of security, the iPhone is arguable superior to just about any Android smartphone and the latest encryption technologies found on Macs can stand up to just about any computer.

When the financial crisis hit, politicians from high-tax nations didn’t let the crisis go to waste. Acting through the G-20, they launched an attack on so-called tax havens, asserting that “hot money” from the offshore world somehow had caused the banking system to become unstable.
 
This campaign against low-tax jurisdictions made no sense. Nobody in the Cayman Islands or Monaco was responsible for the Federal Reserve’s easy money. Nobody in Panama or Singapore had anything to do with the corrupt system of Fannie Mae/Freddie Mac subsidies.