President Barack Obama signs H.R. 240, the Department of Homeland Security Appropriations Act of 2015. The president signed a law funding the Homeland Security Department through the end of the budget year.
Keystone oil pipeline veto override fails in the Senate 62-37. 👏👏👏👏 #NoKXL
The US budget deficit fell to about $483 billion in fiscal year 2014, almost a $200 billion drop from the previous year and the lowest level of President Barack Obama’s six years in office. The US Treasury Department released the official figures on Wednesday, generally confirming figures released by the nonpartisan Congressional Budget Office last week. It’s the smallest deficit recorded since 2008.
FY2014 was the fifth consecutive year the deficit declined as a percentage of GDP. It is now an estimated 2.8% of GDP, a percentage that puts it below the average of the past 40 years. The Treasury’s figures chalked up the shrinking deficit to increased revenues from taxes and slowed growth in government spending. “It’s really a rise in revenues because of economic growth, because of the policies the president pursued, that we’ve made progress on the deficit,” said Shaun Donovan, the director of the Office of Management and Budget.
Rolling Stone: The Obama Hope And Change Index: 6 Years Of Progress, By The Numbers
Peak unemployment, October 2009: 10 percent
Unemployment rate now: 5.9 percent
Consecutive private sector job growth: 55 months
Private sector jobs created: 10.3 million
Federal deficit, 2009: 9.8 percent of GDP
Deficit in 2013: 4.1 percent of GDP
Average tax rate for highest earners 2008: 28.1 percent
Average tax rate for highest earners 2013: 33.6 percent
Banks regulated as too big to fail, 2009: 0
Banks regulated as “systemically important financial institutions” — a.k.a. too big to fail — 2014: 29
Billions returned to consumers by Consumer Financial Protection Bureau enforcement: $4.6 billion
Americans compensated for being swindled by banks, lenders and credit card companies: 15 million
Dow Jones close, inauguration day 2009: 7,949
Dow Jones yesterday: 16,719
Required MPG (miles per gallon) for cars when Obama took office: 27.5
Required MPG for light trucks/SUVs when Obama took office: 23
MPG requirement by 2016 for cars, light trucks/SUVs: 35.5
MPG required by 2025: 54.5
Gigawatts of wind power installed when Obama took office: 25
Gigawatts of wind power installed through end of 2013: 61
Peak summertime solar power generation June 2008: 128 gigawatt hours
Peak summertime solar power generation June 2014: 2,061 gigawatt hours
Coal burned in electrical generation 2008: 1 billion short tons
Coal burned in electrical generation 2013: 858 million short tons
Reduction: 14.2 percent
EPA-proposed CO2 reductions for power sector by 2030: 30 percent
Pell grant funding 2008-2009: $18 billion
Pell grant funding 2013-2014: $33 billion
Adults gaining insurance under first year of Obamacare: 10.3 million
As a percentage of the uninsured: 26
Annual cost for birth control prior to Obamacare: Up to $600
Annual cost for birth control under Obamacare-compliant policies: $0
Prescriptions now required to obtain emergency contraception: 0
2009 projection for Medicare going broke: 2017
2014 projection for Medicare going broke: 2030
Troops in Iraq, inauguration day 2009: 144,000
Troops in Iraq today: 1,600
Osama bin Ladens alive 2009: 1
Osama bin Ladens alive 2014: 0
Troops in Afghanistan, day, 2009: 34,400
Troops pledged in Afghanistan by end of 2014: 9,800
Guantánamo detainees inauguration day 2009: 242
Gitmo detainees today: 149
Crack vs. Powder cocaine-crime sentencing disparity when Obama took office: 100:1
Crack vs. Powder disparity today: 18:1
Drug offenders eligible to seek early release under new sentencing guidelines: 46,000
Bloomberg: Corporate U.S. Healthiest In Decades Under Obama With Lower Debt
Steve Wynn, founder of the Wynn Resorts Ltd. (WYNN) casino empire, once called President Barack Obama’s administration “the greatest wet blanket to business and progress and job creation in my lifetime.” Barry Sternlicht, chief executive officer of Starwood Property Trust Inc. (STWD), said Obamacare was driving down wage growth and “affecting spending and the desire to buy houses and everything else.” Corporate and economic statistics almost six years into his administration paint a different picture. Companies in the Standard & Poor’s 500 (SPX) Index are the healthiest in decades, with the lowest net debt to earnings ratio in at least 24 years, $3.59 trillion in cash and marketable securities, and record earnings per share. They are headed this year toward the fastest average monthly job creation since 1999, manufacturing is recovering and the U.S. has returned as an engine for global growth. The recovery, which stands in contrast to weak growth in Europe and Asia, has underpinned an almost threefold gain in the Standard & Poor’s 500 Index since March 2009.
“The U.S. is leading the way — we’re the only major economy with accelerating growth,” said Mark Zandi, chief economist in West Chester, Pennsylvania, for Moody’s Analytics Inc. and a registered Democrat who has advised both the Obama administration and Senator John McCain, a Republican. “Obama deserves some credit for that, but he probably won’t get it.” Barring any major disruptions, the economy is setting up for Obama to leave office on a high note, said Douglas Brinkley, a presidential historian and professor at Rice University in Houston. “History will eventually show that Obama inherited the Great Recession and resuscitated the economy,” Brinkley said in an interview. One example is General Motors Co. (GM), which last week regained its investment-grade debt rating from Standard & Poor’s only five years after the government-backed bankruptcy. Obama’s $49.5 billion bailout of the automaker in exchange for taxpayers owning 61 percent of the company kept it from being liquidated, an outcome that could have crippled parts suppliers and economies throughout most of 50 states, not just the Midwest. In the broader economy, consumers are buying again and homebuilding is increasing. The unemployment rate has declined to 6.1 percent, the lowest since 2008. The economy expanded at a 4.6 percent annualized rate in April through June. Obama’s 2010 health-care program will hold down consumer prices for years to come as millions of Americans obtain coverage, BNP Paribas SA and Credit Suisse Group AG said. The “Medicare cost miracle” resulted at least in part from Obama’s Patient Protection and Affordable Care Act, Nobel-Prize winning economist Paul Krugman wrote in a Sept. 1 New York times article.
The preliminary figures on second-quarter GDP looked good; the revised tally looked better; and the final report looks even better still. The U.S. economy grew at a 4.6% annual pace in the second quarter, matching the best performance since the recession ended in mid-2009. The increase in real gross domestic product was revised up from 4.2%, mainly because of higher exports and business investment, the Commerce Department said Friday. Americans also spent more on health care, but the gain was offset by lower spending on other services. Economists polled by MarketWatch had predicted GDP would be revised up to a seasonally adjusted 4.7%. Consumer spending, the main source of economic activity, was unchanged at 2.5% growth. The biggest gains came in business investment, a good sign for the economy in the months ahead. To provide some additional context, 4.6% growth is tied for the best quarter since the start of the Great Recession.
Yahoo: Economy In U.S. Expands 4.2%, More Than Previously Forecast
The biggest gain in U.S. business investment in over two years helped the world’s largest economy expand more than previously forecast in the second quarter, raising expectations for the rest of 2014. Gross domestic product, the value of all goods and services produced, rose at a 4.2 percent annualized rate, up from an initial estimate of 4 percent and following a first-quarter contraction, Commerce Department reported today in Washington. Other reports showed the outlook for home sales improved in July, fewer people filed claims (INJCJC) for jobless benefits last week and consumer confidence climbed. Recent data showing American factories are receiving more orders and employment is picking up indicate companies such as General Electric Co. (GE) will probably see demand sustained into the second half of the year. “The recovery is becoming more well-entrenched,” said Scott Brown, chief economist at Raymond James & Associates Inc. in St. Petersburg, Florida, who correctly projected the gain in GDP.
“There is more optimism among businesses about increased demand. The drop in firings is probably helping Americans feel more secure in their jobs. The Bloomberg Consumer Comfort Index rose in the week ended Aug. 24 to the highest level in more than a month as views of household finances advanced to an almost four-month high, another report showed. Household consumption, which accounts for about 70 percent of the economy, grew at a 2.5 percent annualized rate, the same as previously estimated. Automobile sales near an eight-year high bode well for consumer spending and factory production. Consumers’ purchasing power improved, with disposable income adjusted for inflation rising at a 4.2 percent from April through June after a 3.4 percent gain in the first quarter. Gross domestic income, which reflects all the money earned by consumers, businesses and government agencies climbed at a 4.7 percent annualized rate in the second quarter, the most since early 2012. More hiring and stock-market gains that are boosting confidence also are healing household finances, which will help consumer spending. Payrolls in July marked the sixth month of gains exceeding 200,000, the longest such stretch since 1997, according to the Labor Department.
Jason Furman: Second Estimate Of GDP For The Second Quarter Of 2014
1. Real gross domestic product (GDP) increased 4.2 percent at an annual rate in the second quarter of 2014, according to the second estimate from the Bureau of Economic Analysis. The strong second-quarter growth represents a rebound from a first-quarter decline in GDP that largely reflected transitory factors like unusually severe winter weather and a sharp slowdown in inventory investment. Growth in consumer spending and business investment picked up in the second quarter, and residential investment increased following two straight quarters of decline. Additionally, state and local government spending grew at the fastest quarterly rate in five years.
3. Over the last four quarters, real GDP has risen 2.5 percent, faster than the 2.0 percent annualized pace observed over the preceding eight-quarter period. Looking at four- and eight-quarter changes to smooth some of the quarter-to-quarter volatility, it is clear that many components of GDP are showing improvement. The growth rates of consumer spending, business investment and exports have all picked up, and the pace of declines in the Federal sector have moderated a bit. In addition, the State and local government sector has turned positive, after several years of steady cutbacks. One area that has slowed over the last four quarters is residential investment, which is discussed in greater detail in the next point.
You’re looking at the biggest story involving the federal budget and a crucial one for the future of the American economy. Every year for the last six years in a row, the Congressional Budget Office has reduced its estimate for how much the federal government will need to spend on Medicare in coming years. The latest reduction came in a report from the budget office on Wednesday morning. The changes are big. The difference between the current estimate for Medicare’s 2019 budget and the estimate for the 2019 budget four years ago is about $95 billion dollars. That sum is greater than the government is expected to spend that year on unemployment insurance, welfare and Amtrak — combined. It’s equal to about one-fifth of the expected Pentagon budget in 2019. Widely discussed policy changes, like raising the estate tax, would generate just a tiny fraction of the budget savings relative to the recent changes in Medicare’s spending estimates.
In more concrete terms, the reduced estimates mean that the federal government’s long-term budget deficit is considerably less severe than commonly thought just a few years ago. The reduced estimates are also an indication of what’s happening in the overall health care system. Even as more people are getting access to health insurance, the costs of caring for individual patients is growing at a super-slow rate. That means that health care, which has eaten into salary gains for years and driven up debt and bankruptcies, may be starting to stabilize as a share of national spending. The Affordable Care Act, in particular, made significant reductions to Medicare’s spending on hospitals and private Medicare plans, to help subsidize insurance coverage for low- and middle-income Americans.
AS the predominantly black, disproportionately poor community of Ferguson, Mo., erupted in protest after the shooting death of Michael Brown, critics excoriated President Obama for his failure to empathize. Michael Eric Dyson, for example, called the president’s statement about the case on Monday a “stunning epic failure.” Mr. Obama’s defenders point to his second-term commitment to issues that touch the lives of poor communities of color, especially his initiative to assist young minority men, My Brother’s Keeper. But what both sides are ignoring is the president’s first-term record.
A true measure of a president’s priorities lies hidden in plain sight in his budget proposals. Under that standard, Mr. Obama has been more committed to communities like Ferguson than any Democratic president in the past half century. … …. Even after accounting for the higher numbers of poor people caught in the Great Recession, Mr. Obama’s record outshines his predecessors’. His proposed first-term spending per poor individual was $13,731 to Mr. Clinton’s $8,310 and Mr. Carter’s $4,431, in 2014 dollars.
Kyle Niere, 23, was arrested on Monday night in Ferguson, Missouri, for “refusing to disperse” as he attempted to leave the QuikTrip station, where hundreds have gathered to protest the police shooting of Michael Brown, an unarmed black teen. As he later relayed to NBC News, Niere, along with 12 other protesters, was arrested after cops told him and his friends that they “looked like the type that were going to stir up drama and go start looting.” According to Niere, police officers dragged him “face-first on the ground” and were “stepping on the back of our heads.” Niere and the others were held overnight and released. This has been the pattern for more than a week: Dozens of legitimate protesters arrested for essentially doing it wrong, which can be variously described as protesting about issues of race, refusing to stop protesting about issues of race, and in many cases, perhaps most outrageously, protesting while black.
It’s virtually impossible to square the law enforcement definition of illegal protest with the snuggly warm vision of political protest put forth by a unanimous Supreme Court only two months ago in McCullen v. Coakley. That was the case in which the high court struck down a Massachusetts law barring any protests within 35 feet of an abortion clinic. That law was passed after two clinic workers were shot and killed at clinics in 1994. But there is a crucial difference between the abortion opponents whose speech rights were feted by the court in McCullen and the garden variety protesters who can still be rounded up in free speech pens and summarily arrested on the streets of Ferguson: The court was careful to explain that the protesters in Massachusetts are not actually “protesters.” They are “counselors.” This presents an obvious solution for the outraged citizens who have taken to the streets of Ferguson and been met with tear gas, rubber bullets, and incarceration: rebranding. From this day forth you should consider yourself “sidewalk counselors.”
Years ago I learned a very cool thing about Robin Williams, and I couldn’t watch a movie of his afterward without thinking of it. I never actually booked Robin Williams for an event, but I came close enough that his office sent over his rider. For those outside of the entertainment industry, a rider lists out an artist’s specific personal and technical needs for hosting them for an event- anything from bottled water and their green room to sound and lighting requirements. You can learn a lot about a person from their rider. When I got Robin Williams’ rider, I was very surprised by what I found.
He actually had a requirement that for every single event or film he did, the company hiring him also had to hire a certain number of homeless people and put them to work. I never watched a Robin Williams movie the same way after that. I’m sure that on his own time and with his own money, he was working with these people in need, but he’d also decided to use his clout as an entertainer to make sure that production companies and event planners also learned the value of giving people a chance to work their way back. Thanks, Robin Williams- not just for laughs, but also for a cool example.
Nick Timiraos: Foreclosed-Property Sales Fall to Lowest Levels Since 2008
Thursday’s home-sales report offers the clearest evidence that the housing market is moving out of the emergency ward and into a rehab facility. The National Association of Realtors reported that home sales rose for the fourth straight month in July to the highest seasonally adjusted annual rate since last September. But the real sign that the housing market is out of critical condition comes courtesy of a separate survey the NAR does of its members. That survey estimates the share of distressed home sales in July fell to 9% of all sales, the lowest level since the trade group’s tally began in October 2008.
the drop in foreclosed-property sales deserves attention. Sales of non-distressed homes, using crude estimates derived from the NAR’s survey, are up slightly from a year ago. Prices are still rising, but not as sharply as they were a year ago. And higher prices could be drawing out more sellers. Inventories are at their highest levels in nearly two years—and this time, they appear to be rising because Joe and Jane Homeowner, not a bank or mortgage-processing company, wants to sell.