Mr.Warren Buffett is one of the US billionaires and chairman of the Berkshire Hathaway Inc. Ms.Elizabeth Warren is an attorney, Harvard law professor, and a United States Senate candidate. I came across an interesting article with the same title as above by John DeFeo in TheStreet.com The reason for Warren’s newfound Internet stardom is simple. …
Continue reading ‘Why You Should Listen to Warren, Not Buffett’ »
The U.S. has one of the lowest individual income tax rates among the developed countries. For example, the top individual tax rate used to be 91% in 1960. For the 17 years from 1965-1981, the top individual marginal tax rate was 70%. However President Ronald Reagan reduced it drastically from 70% to 28%. Currently the top …
Continue reading ‘Why Higher Taxes Are Not a Barrier to Economic Growth’ »
I came across an interesting article in The Economist magazine recently that discussed about the biggest employers in the world. When the economy is sluggish private sector is unable to create jobs due to the lack of demand for goods and services. For example, despite having over a Trillion dollar in cash, U.S. companies have …
The size of the U.S. economy is about $14.66 Trillion. However over 70% of the GDP is based on consumption spending. As a result any recovery is highly dependent on the U.S. consumer whose household debt is still too high by historical standards. This is in sharp contrast to U.S. companies which hold over $1.0 …
Continue reading ‘U.S. Household Debt: A Major Impediment To Any Economic Recovery’ »
The following chart shows public childcare and pre-primary education expenditure across a select few OECD countries: Click to enlarge Public spending on childcare in France, Sweden and the U.K. is in the 0.4% to 0.6% of the GDP which is double that spent by Greece and Korea. The U.S. spends relatively low on childcare than …
Continue reading ‘Comparing Childcare Expenditures Across OECD Countries’ »