Hannah Belitz is a student at Harvard Law School.
At the New York Times, Professor Robert Gordon weighs in on the president’s ability — or lack thereof — to stimulate economic growth. Professor Gordon explains that many voters expect Clinton and Trump to offer economic solutions to low growth rates, but although “bold presidential policies” can address some economic problems, “there are limits, and other problems may lie beyond the realm of feasible solutions.” As the unemployment rate draws “close to its minimum feasible,” for example, “further economic growth will be limited by a shortage of skilled workers.” As a result, any economic growth will likely depend on an increase in labor productivity — but labor productivity has also decreased, due in large part to technological advances. That said, Professor Gordon does note that policy changes like raising taxes on the “superrich” and abolishing tax loopholes and deductions that primarily benefit higher-income taxpayers would help address rising inequality and waning tax revenue. He also suggests following nations like Canada, Australia, and the Nordic countries, where “insecurity is less acute because government institutions are more robust.”
According to the Wall Street Journal, car makers are investing billions in Spain’s auto industry. The reason? Production costs are low. In 2012, the conservative Popular Party came to power and enacted new laws that “made it easier for employers to lay off longtime employees and weakened collective bargaining agreements.” However, that may change: the country is currently experiencing “political deadlock” that could prevent the Popular Party from forming a government. Meanwhile, the two biggest opposition forces, the Socialists and a left-wing alliance called Unidos Podemos, have campaigned on overturning the 2012 labor laws.
As the labor market arguably improves, less educated workers are facing better prospects. USA Today reports that employers are increasingly hiring workers without a four-year degree, and after being “pleased with the results,” have modified how they evaluate applicants. The numbers seem to support that claim: in July, the unemployment rate for high school dropouts fell from 7.5% to 6.3% (it was 8.2% a year ago). The rate for workers with a Bachelor’s degree or higher, however, has remained steady at 2.5%.
Daily News & Commentary
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February 21
In today’s News & Commentary, Trump spending cuts continue to threaten federal workers, and Google AI workers allege violations of labor rights. Trump’s massive federal spending cuts have put millions of workers, both inside and outside the federal government, in jeopardy. Yesterday, thousands of workers at the U.S. Department of Veterans Affairs research office were […]
February 20
President Trump's labor secretary pick retreats from some of her pro-labor stances during Senate confirmation hearing and Lynn Rhinehart discusses implications of NLRB and other agency removals.
February 19
In today’s news and commentary, Lori Chavez-Deremer’s confirmation hearing, striking King Soopers workers return to the bargaining table, and UAW members at Rolls-Royce authorize a strike. Lori Chavez-Deremer, President Trump’s nominee for Secretary of Labor, faces a Senate confirmation hearing today. Chavez-Deremer may face more No votes from Republicans than other Trump cabinet members. Rand […]
February 18
In today’s news and commentary, an air traffic union examines the impact of federal aviation worker firings, Southwest Airlines lays off 15% of its corporate workforce, and the NLRB’s General Counsel withdraws Biden-era memos Following the Trump Administration’s dismissal of hundreds of Federal Aviation Administration (FAA) employees, the National Air Traffic Controllers Association (NATCA), a […]
February 17
President Trump breaks campaign promise to support workers and Utah’s governor signs a law banning public sector collective bargaining
February 16
Unions fight unlawful federal workforce purges; Amazon union push suffers setback in North Carolina.