Eric Reed is a freelance journalist who specializes in economics, policy and global issues, with substantial coverage of finance and personal finance. He has contributed to outlets including The Street, CNBC, Glassdoor and Consumer Reports. Eric’s work focuses on the human impact of abstract issues, emphasizing analytical journalism that helps readers more fully understand their world and their money. He has reported from more than a dozen countries, with datelines that include Sao Paolo, Brazil; Phnom Penh, Cambodia; and Athens, Greece. A former attorney, before becoming a journalist Eric worked in securities litigation and white collar criminal defense with a pro bono specialty in human trafficking issues. He graduated from the University of Michigan Law School and can be found any given Saturday in the fall cheering on his Wolverines.
Subsidies, which are a kind of economic stimulus, are government payments made to businesses. Subsidies can target either specific companies or an entire industry, and they typically apply in one of two ways. In some programs the government supports an industry directly, providing cash payments, tax breaks, or paying for certain costs. In other programs the government supports an industry by making their products cheaper for consumers, often by providing vouchers or breaks on taxes. Through subsidies, a government can encourage a business that would otherwise be unprofitable in the free market. Read more
During a recession the Federal Reserve gets the most headlines for dropping its benchmark interest rates to spur lending, and the spending that lending allows. While that’s the most well-known move the Fed makes, it’s far from the only one. In fact the U.S. central bank has a number of ways it can influence monetary policy during an economic downturn. One of those options is to subsidize U.S. money markets through what’s called the Money Market Mutual Fund Liquidity Facility. Read more
State bankruptcies have recently become an open question as the coronavirus pandemic shreds many states’ finances. But before that, the issue emerged in 2017 when the U.S. territory of Puerto Rico filed for bankruptcy. And even prior to that analysts were studying the deteriorating condition of state finances. No state has ever declared bankruptcy, though. And, with the exception of Arkansas in 1933, it has been nearly 150 years since any state defaulted on debt. There is no roadmap for what happens when a state goes bankrupt. We review how we got to this point, bankruptcy issues and possible ways forward. Read more
It’s hard to recall a time when market volatility has been as intense as it has been during the coronavirus pandemic. Over the course of March, federal, state and local governments imposed shutdown… Read more
The Small Business Administration (SBA) has a number of programs available for small business owners suffering during the coronavirus pandemic. The most prominent are the Personal Paycheck Program … Read more
The Great Wealth Transfer is coming. More than 10,000 baby boomers are turning 65 every day, and over the next 20 to 30 years trillions of dollars’ worth of wealth will transfer to their children. It… Read more
|An error occurred Please reload the page.|