The Daily Dish

November 10th Edition

Healthcare.gov will open five days ahead of open enrollment, starting today, for consumers to review plans before they can actually purchase. CMS is hoping that this year’s launch runs much smoother than last year’s website that crashed and frustrated users. Consumers this year may end up surprised by their premiums rising given the seven ways it can increase without choosing a different plan.

When appearing on Face the Nation, the President said he will use executive action to push through his version of immigration reform. It appears that the executive branch will continue with their plans to pursue immigration reform without legislation, despite Speaker Boehner's warnings against this strategy.

Senate Republicans have identified slowing down the EPA as one of the top priorities in the new Congress. Incoming Senate Majority Leader McConnell said “to try to do whatever I can to get the EPA reined in.” This will likely include reviews of the Waters of the US rule as well as the carbon emissions regulations on existing power plants. 

Eakinomics: The Growth Imperative

Today the Chamber of Commerce Foundation releases “The Growth Imperative: How Slow Growth Threatens Our Future and the American Dream” a study prepared by AAF in conjunction with the Foundation. Put simply, it highlights the dire need for better policy and better growth. Mechanically, the report has four main areas.

First, it reviews the mechanics of sustained (or trend) growth in income per capita, which derives from incentives for work and labor force participation and improved labor productivity. The latter relies on sustained investment in technologies, equipment, facilities, and worker skills. Second, it reviews the postwar record of U.S. economic growth. The key finding is that trend growth does vary, opening the possibility that the current diminished growth could be improved. Third, it documents that fact the faster growth in overall income per person helps every part of the income distribution — a finding firmly embedded in the data and at odds with the liberal canard that growth leaves the middle class behind. Finally, it surveys the kinds of deep structural reforms — entitlement spending reforms, tax reforms, regulation reforms, trade pacts, immigration reforms, energy policy changes — that can improve the long-run potential of the U.S. economy. 

The key takeaway is that the U.S. has seen its potential growth diminish steadily over the past six years. The Congressional Budget Office places its current estimate at 2.3 percent overall, which translates to 1.3 percent per capita. At that pace, the standard of living doubles only every 54 years! It means that deficits and debt are higher and the burden of reduce income and higher debts is passed to the next generations. 

It also means that better growth is the opportunity to create up to 1.2 million more jobs, cut deficits by up to $3 trillion and make the nation more secure over the next decade.  Improved growth is an economic and moral imperative. 

From the Forum

Week in Regulation by Dan Goldbeck, AAF Research Analyst

Disclaimer

Daily Dish Signup Sidebar