Inclusive Recovery Requires Reimagining Local Economic Development

By Stephanie Copeland, Alex Flachsbart, Colin Higgins, and the Sorenson Impact Center

The way Americans work and live is facing a once-in-a-lifetime challenge in the form of simultaneous crises of public health, the economy, climate change, and racial justice. Our response will shape generations of American life. 

Over fifty years ago, on the heels of a generation-defining tragedy and the eve of an era-shaping response, President Lyndon Johnson made a speech  we’d be wise to revisit today. Announcing his Great Society agenda, Johnson proclaimed, “The solution to these [our country’s] problems does not rest on a massive program in Washington, nor can it rely solely on the strained resources of local authority. They require us to create new concepts of cooperation, a creative federalism, between the National Capital and the leaders of local communities.”

Polarization in Washington may have increased since Johnson’s 1964 statement, but the

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a regulated crypto-asset sector could improve the bloc’s economic outlook

A study by the European Parliamentary Research Service published Friday contended that the digitalization of assets could benefit the European Union’s overall economy as digital finance continues to play an increasingly bigger role in the bloc’s financial services.  

The study focused on why the EU should hop on the crypto assets train, highlighting how the ongoing expansion of the crypto ecosystem is changing the preferences and usages amongst investors and consumers. 

According to the report, broadening the crypto-assets market would facilitate digital financial innovation, increase high skill employment and promote more innovation and investment, which would open up more opportunities for businesses and startups. 

“…[F]rom a macroeconomic perspective, the digitalisation of assets could also benefit the overall economy. The overall broadening of the crypto-assets market, which as mentioned above would go hand in hand with digital financial innovation, could increase high skill employment, innovation and investment,” the report noted.

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Argentina’s economic woes send companies fleeing

A growing number of foreign companies are slashing investments in Argentina or fleeing altogether, fearing the leftist government’s increasingly interventionist moves aimed at stabilising the struggling economy.

While finance minister Martin Guzmán is expected to present rosy predictions in Tuesday’s budget, Chilean retail giant Falabella became the latest in a string of companies to announce its intention to withdraw from Argentina last week as the government moved to tighten already strict capital controls to protect dwindling foreign exchange reserves.

President Alberto Fernández scored a big victory through a deal with private creditors to restructure $65bn of foreign debt last month. But the onset of the pandemic just three months into his term has stymied attempts to rebuild investor confidence.

“It’s an exaggeration to say there’s some kind of mass exodus going on, but companies are grappling with an increasingly interventionist policy direction which may worsen as economic conditions worsen too,”

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Ohio adds jobs in August, but economic recovery slows as COVID persists – Business – The Columbus Dispatch

Ohio added 45,500 jobs in August, well below the number of jobs restored to the economy earlier in the summer.

More than 45,000 jobs were added in Ohio in August, according to a report Friday that suggests the state’s economic recovery has slowed considerably since early summer.

Despite the job gains, the state’s unemployment rate stood at 8.9% in August, nearly identical to July’s 9% rate and slightly above the U.S. rate of 8.4%, according to the monthly report from the Ohio Department of Job and Family Services.

A separate survey found that 510,000 Ohioans remained without jobs in August the same as in July.

In August, 45,500 Ohio jobs were restored, below the 63,000 jobs added in July and well below the 213,000 workers called back in June.

Jobs were added in health care, transportation, professional services, and even in the battered leisure and hospitality industries.

But the gains

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The easy part of the U.S. economic recovery is over. Now comes the hard part

After a rollercoaster ride in the spring and summer, the U.S. economy appears to be entering a flatter stretch ahead of the pivotal 2020 presidential election.

The thundering economic rebound that followed a historic recession in the wake of the coronavirus pandemic has shifted into a more lukewarm recovery. Consumer spending has slowed, business investment is soft, and the number of people going back to work has tapered off.

Read:U.S. retail sales climb in August for third straight month, but momentum is slowing

And see: MarketWatch Economic Calendar

A slower recovery is evident in the number of people applying for unemployment benefits. After falling through most of the summer, new state and federal jobless claims appear stuck around 1.4 million or so a week. More big companies have announced layoffs and thousands of small businesses have closed permanently.

Consider this: The government reported that nearly 30 million people were

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The 2020 Housing Boom Is A Perilous Economic Signal

Back in the 1980s, the long-forgotten “classified ads” for cars used to specify whether or not the auto for sale had AM/FM radio. If a tape deck, this was prominently noted. Hard as it is to imagine now, the tape deck that would signal an ancient car today was a sign of luxurious modernity in the 1980s. How things change.

As Andy Kessler has pointed out, your ownership of an Amazon
AMZN
Echo combined with a monthly, $4.99 subscription to Amazon Music
AMZN
gives you access to unlimited amounts of music worth billions of dollars. Nowadays Alexa is available in cars. Imagine that. While the well-to-do used to thrill at a tape deck that they could use to fast forward and rewind to get to favorite songs on one cassette tape, nowadays anyone can request nearly all the music ever recorded by voice command in their cars. Kessler

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This Is Why You Shouldn’t Believe The Hype About An Economic ‘Recovery’

The U.S. economic outlook is dire despite meager signs of improvement from the depths of this year’s springtime shutdowns, and millions of Americans are now facing the crunch of disappearing federal aid that has kept so many families afloat.

A new report from the Federal Reserve highlights just how broad-based and rapid the effects of this economic downturn have been.

“Nearly one-fourth of adults said their family received assistance from unemployment insurance,

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TikTok tussle shows the uneven economic ‘decoupling’ that has accelerated between U.S. and China

On Saturday, the president said he had approved a deal in which Oracle and Walmart would partner with TikTok in a new, U.S.-controlled company. Designed to address his objections to possible Chinese government harvesting of Americans’ data, the move came after the Commerce Department abruptly announced Friday it would ban TikTok and WeChat, a second Chinese mobile service, from U.S. app stores. A federal judge later issued a temporary injunction blocking the WeChat ban, meaning both platforms remain available in the United States.

The extraordinary trans-Pacific tussle — China’s foreign ministry groused that it showcased Washington’s “hideous agenda of robbery and economic bullying” — is hardly an isolated occurrence for the fast-souring U.S.-China relationship. This month alone, the Chinese government unveiled new global data security standards designed to outflank a rival U.S. initiative. The American ambassador to China quit his post in Beijing, preferring to help Trump’s reelection bid. And

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Expect long-term economic scarring from Covid-19

The writer is chairman of Fulcrum Asset Management

As winter approaches in the northern hemisphere, new Covid-19 infections — which are feared to rise in cold weather — continue their inexorable worldwide march. Nevertheless, consensus economic forecasts for gross domestic product growth are being revised generally upwards. This optimism could soon be challenged.

The surprising ability of the American economy to withstand a very large rise in cases in midsummer, and the control of the resurgence without the severe lockdowns of April, have increased confidence that any winter outbreaks of the virus will not damage the global economy. So, too, have relatively low hospitalisation and death rates.

But with a very low chance of an effective vaccine or testing regime being widely available much before next spring, the reopening of schools and businesses may lead to surges in infections that are controllable only through widespread lockdowns. The economic damage from

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Serbia, Kosovo normalize economic ties, gesture to Israel

WASHINGTON — President Donald Trump announced Friday that Serbia and Kosovo have normalized economic ties as part of U.S.-brokered talks that include Belgrade moving its Israeli embassy to Jerusalem, and Israel and Kosovo agreeing to mutual recognition.

After two days of meetings with Trump administration officials, Serbian President Aleksandar Vucic and Kosovo’s Prime Minister Avdullah Hoti agreed to cooperate on a range of economic fronts to attract investment and create jobs. The announcement provided Trump with a diplomatic win ahead of the November presidential election and furthers his administration’s push to improve Israel’s international standing.

“I’m pleased to announce a truly historic commitment,” Trump said in the Oval Office, standing alongside the two leaders, who signed an economic cooperation agreement. “Serbia and Kosovo have each committed to economic normalization.”

“After a violent and tragic history and years of failed negotiations, my administration proposed a new way of bridging the divide.

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