Tax Revenue

State Tax Revenues Plunge In Q2

tax collections will be down 2.1% in the second quarter relative to last year, reflecting a decline of 3.3% in personal income taxes and a 9.2% plunge in corporate tax collections.  The trend in individual income taxes at the state level in recent quarters tracks the sharp decline we have reported previously at the federal level.

Frontrunning: September 16

  • Deutsche Bank to fight $14 billion demand from U.S. authorities (Reuters)
  • Exxon’s Accounting Practices Are Investigated (WSJ)
  • European leaders seek elusive 'road map' after Brexit shock (Reuters)
  • Johnson Said to Tell Italy Exit Talks Likely to Start Early 2017 (BBG)
  • Brexit Bulletin: Merkel Sings the Bratislava Blues (BBG)

Global Oil Demand Set To Tumble As China Cracks Down On Teapot Refiners

Purchases by the China's teapot refiners, granted permission last year to buy foreign crude, have soaked up some of the global oil glut over the past years. However, blistering crude oil demand from teapots may be about to hit a brick wall as a government tax crackdown threatens to constrain this new source of demand from China.

Clintonomics vs. Trumponomics

Immigration, terrorism, foreign policy, and the candidates' potentially problematic personality traits have dominated the 2016 US presidential race, and far less has been said about their proposals for the economy. But there are substantial differences between the two candidates in this respect, too, and they need to be examined.

Debt, Deficits & Economic Warnings

The processes that fueled the economic growth over the last 30 years are now beginning to run in reverse, and when combined with the demographic shifts in the U.S., the impact could be far more immediate and prolonged than the media, economists and analysts are currently expecting...It is simply a function of the math.

Looking Forward

The world’s leading governments have become decidedly fascist and are rapidly heading in a totalitarian direction. There are a number of facets to this development, all of them disturbing: The elimination of personal privacy, the creation of capital controls, confiscation of wealth, the conversion to electronic banking as the sole form of currency, international taxation standards and the creation of a police state.

Funny Money Accounting - Why Social Security Will Be Bankrupt In 10 Years

In their most recent report, the so-called “trustees” of the social security system said that the trust fund’s near-term outlook had improved. So the stenographers of the financial press dutifully reported that the day of reckoning when the trust funds run dry has been put off another year - until 2034. The message was essentially take a breath and kick the can. That’s five Presidential elections away! Except that is not what the report really says...

Hillary Clinton Explains How Much Better Her Economic Plan Is Than Trump's (And Obama's) - Live Feed

"Mrs. Clinton isn’t expected to unveil new policy in Thursday’s speech." according to The Wall Street Journal. Instead, Hillary will dial up a line of attack on Donald Trump’s economic proposals in a Thursday speech that casts his agenda as a crony giveaway that erodes his populist appeal, according to a campaign official...We wonder, if Hillary has all these brilliant ideas, then why did she not share them with President Obama - who just presided over the only term without a 3% growth year in the history of America.

Misunderstanding The Real Problem: An Updated Version Of The "Peak Oil" Story

The amount of oil (or for that matter, any other resource) isn’t a fixed amount. If the price can be made to rise to a very high level, the quantity that can be extracted will also tend to rise–in fact, by a rather large amount. The “catch” is that wages for the vast majority of workers don’t rise at the same time. As a result, goods made with high-priced oil soon become too expensive for workers to afford, and the economy falls into recession. The result is prices that fall below the cost of production. Thus, the limit on oil supply is not the amount of oil in the ground; instead, it is how high oil prices can rise, without causing serious recession.