America is getting richer every year. The American worker is not. Far from it: On average, workers born in 1942 earned as much or more over their careers than workers born in any year since, according to new research — and workers on the job today shouldn’t expect to catch up with their predecessors in their remaining years of employment.
Migrants account for only 3.4% of the global population but produce 9.4% of the world output, or some $6.7 trillion. That’s almost as large as the size of the GDP of France, Germany and Switzerland combined. Compared to what they would’ve produced had they stayed at home, they add $3 trillion – that’s about the economic output of India and Indonesia combined.
The kingdom may have stretched its current limits by extracting a record of around 10.7 million bpd this year... one reason why Riyadh pushed so hard for a global deal to cut production. Riyadh... felt the burn of cheap oil this year...as the reality of its costly war in Yemen and the task of shaking up its economy to create thousands of jobs began to sink in. The government is trying to boost non-oil revenue and modernize the economy through an ambitious reform plan called "Vision 2030."
Last year, U.S. legal marijuana was a $5.4 billion business, and... is expected to quadruple by 2020. According to one 2016 estimate, the industry and supporting businesses already employ between 100,000 and 150,000 people in the U.S., more than General Motors. California’s recent vote to legalize recreational marijuana — medical marijuana has been legal in the state since 1996 — created the world’s largest legal market and sent the clearest signal yet that widespread legalization is inevitable.
Historically, boom times are the exception, not the norm. That isn’t true just in America. Over the past two centuries, per capita incomes in all advanced economies, from Sweden to Japan, have grown at compound rates of around 1.5% to 2% a year. Some memorable years were much better, of course, and many forgettable years were much worse. But these distinctly non-euphoric averages mean that most of the time, over the long sweep of history, people’s incomes typically take about 40 years to double.
In short, this is proving to be a fundamentally urban economic recovery ... And while suburban households still earn more, on average, than urban households, city-dwellers are closing the gap ... the biggest gains accrued to the 41 million households located in the principal city of a metropolitan area. They saw their incomes grow an impressive 7.3 percent ... in rural America. And it found that these households saw their incomes drop by 2 percent between 2014 and 2015: from $45,534 to $44,657.
America’s merchandise trade was in approximate balance from the 1950s through the mid-1960s, but started to move into deficit as cheap labor from abroad began to out-compete more expensive domestic labor. The process accelerated with the advent of technology that made it far cheaper to ship goods across oceans and deliver it to ports, and by liberalizing trade agreements starting in the 1950s and 1960s under the General Agreement on Tariffs and Trade and later under the World Trade Organization
China faces the classic policy trilemma of international economics, that a country cannot simultaneously have more than two of the following three: (1) a fixed exchange rate; (2) independent monetary policy; and (3) free international capital flows. Accordingly, China’s ability to manage its exchange rate may depend, among other factors, on its willingness and ability to adjust on other policy margins.
The major inventions that revolutionized American living standards were seldom captured in the standard indexes. Examples include running water, toilets, telephones, air travel, phonographs, television, air conditioning, central heating, antibiotics, automobiles, financial instruments, and better working conditions. These tectonic shifts in technology and living standards would generally go unrecorded in “real GDP” growth and in the growth of “real wages.”
The evidence of the economic damage from inequality suggests that policymakers should be more open to redistribution than they are. Of course, apart from redistribution, policies could be designed to mitigate some of the impacts in advance—for instance, through increased spending on education and training, which expands equality of opportunity (so-called predistribution policies).