Economic Growth

NY Event: It's the Economic Recovery Plan, Stupid

Communications — Thu, 22 May 2008 04:30:00 -0400

A New America Event
05/22/2008 - 8:30am

As the debate on the economic slowdown moves from "if" to "when" to "how long," The New School's Schwartz Center for Economic Policy Analysis (SCEPA) and the New America Foundation will host a panel of top economists and business executives to discuss the best plan for an economic recovery.

Space is limited, please RSVP to specialevents@newschool.edu or (212) 229-5662 x 3570.

Competing in the Green Economy

Communications — Wed, 14 May 2008 08:00:00 -0400

A New America Event
05/14/2008 - 3:00pm

On May 14th the New America Foundation held an event on the future of solar technology and America’s competitive edge. Mike Splinter, President and CEO of Applied Materials, was the featured speaker for the event. Rhone Resch, President of Solar Energy Industries Association, was invited to offer opening remarks. The event was moderated by Steven Clemons, Director of the American Strategy Program at New America. An MP3 audio recording can be downloaded below, while video is available at right.

To begin his discussion, Mr. Splinter raised the issue of record-high energy prices; oil prices are rapidly rising and the cost of coal has doubled in the last year. There is a great demand from the American people for energy alternatives. Mr. Splinter believes renewable energy is the solution. He stated that within a century renewable energy could provide 100% of the world’s primary energy needs.

There is also increasing competition overseas as Germany and China take the lead in developing renewable energies. Mr. Splinter believes the U.S. should take the lead rather than follow in developing a low-carbon economy. He offered a three-step formula for America to take the lead in renewable energy. First, there should be significant loan guarantees for businesses that invest in clean energy production. Next, there should be a significant increase in R&D for America to maintain its technological edge. Finally, Congress should pass a long-term extension of the solar investment tax to encourage extensive investment in infrastructure.

Mr. Splinter concluded by stating the urgent need for an energy solution, “Energy and the environment are the two biggest social and economic issues of our time. America has the ability to make a difference.”

-Faith Smith, American Strategy Intern

Doug Rediker in Harvard Political Review | 'Sovereign Wealth and Private Equity Funds are Here to Stay'

Communications — Tue, 22 Apr 2008 08:27:00 -0400

New America in the News:

Full article

. . . The new kids on the block, in terms of economic might, are sovereign wealth funds. Clouding their speedy rise are questions raised by Western media and governments about their management and purposes. Do they pose a threat to political stability? “That’s the three-trillion dollar question,” said Douglas Rediker, Co-Director of the Global Strategic Finance Initiative at the New America Foundation, in an interview with HPR. Sovereign wealth funds have never been this big before, or grown at such a pace. The International Monetary Fund has estimated that sovereign wealth funds could account for $12 trillion dollars by 2012.One problem that belies handy analysis of sovereign wealth funds, however, is their sheer diversity. Countries from Norway to Botswana operate sovereign wealth funds, and generalization about their aims or activities is difficult. But uncertainties about the motives of these funds are growing. . .

“The potential to use this finance as a political tool exists,” said Rediker. . . “There have been few if any instances where you can point to political influence having been part of an investment decision,” said Rediker. And it’s difficult to single out sovereign wealth funds for reform, for an important practical reason. Rediker noted that they disclose just as much information as private equity or hedge funds, and since giving up information can mean giving up market advantages, sovereign wealth funds are not keen on it. . . .

Throw Out the Tax Code

Ron Tang — Sun, 20 Apr 2008 07:25:00 -0400

Politicians don't like to talk about taxes except to brag about cutting them. But with California's widening budget deficit threatening deep cuts in education and other public services, it's difficult to avoid discussions about raising taxes.

Unfortunately, what's likely to be lost in the upcoming partisan melee over whether new taxes are needed to close the $16-billion gap is an equally important tax issue -- California's aging and often unfair tax system needs to be overhauled.

The goal of tax reform should be twofold. One is to generate a more reliable revenue stream. The other is to make the tax… more

Doug Rediker in New York Times | Financier Aims to Buy Struggling Small Banks

Communications — Thu, 17 Apr 2008 14:54:00 -0400

New America in the News:

New York Times | Financier Aims to Buy Struggling Small Banks

. . . “For Abu Dhabi to come in and try to cobble together eight different thrifts into a multibillion-dollar deal is enormously complicated,” said Douglas Rediker, co-director of the Global Strategic Finance Initiative at the New America Foundation, a research organization in Washington. “But Wilbur Ross is an active investor who knows how to do this.” . . .

How Much Does the Federal Government Spend To Promote Economic Mobility, And For Whom?

Fiscal Policy — Thu, 17 Apr 2008 09:30:00 -0400

In an economically mobile market economy, individuals and families are able to raise their private incomes, wealth, and ability (sometimes referred to as human capital) over time and across generations. In the United States, many associate economic mobility with the pursuit of the American Dream. Education, work experience, and saving enhance the opportunity for upward economic mobility. To this end, many federal spending and tax expenditure or tax subsidy programs aim to enhance economic mobility. But exactly how much does the federal government encourage economic mobility? What form does this encouragement take? And who benefits from these efforts?

To begin answering these… more

Don't Spend Your Tax Rebate!

Ron Tang — Tue, 15 Apr 2008 04:41:00 -0400

The IRS was so confident in the legendary observation of Oliver Wendell Holmes, Jr. that “taxes are the price we pay for a civilized society” they chiseled it above the entrance to their Washington D.C. headquarters. Still each year Tax Day makes incumbent politicians uneasy -- especially at times when recession fears mount and fall elections loom. This year this perilous combination spurred them on to take prompt and bipartisan action. Who wants to be accused of sending families their tax bill as economic growth slows and hardship spreads?

The bipartisan prescription to jumpstart the economy was to deliver over $100… more

T.A. Frank

Operations — Tue, 08 Apr 2008 10:10:00 -0400

FellowAs a California-based Fellow at the New America Foundation, T.A. Frank writes about law, criminal justice, and labor. With a robust technology sector, busy ports, and a changing economy, California is faced with new sorts of crime, such as terrorism, cybercrime, and financial fraud. Mr. Frank will explore issues such as how prosecutors set their priorities, how police are approaching crime, which crimes are occurring, and what sort of rehabilitation works. Developments in California's labor market are equally far-reaching. As the state makes the transition to a postindustrial economy, with information technology propelling growth, trade increasing, and manufacturing steadily declining,… more

Taking Back Our Fiscal Future

Fiscal Policy — Fri, 04 Apr 2008 01:57:00 -0400

The authors of this paper are longtime federal budget and policy experts who have been drawn together by a deep concern about the nation’s long-term fiscal outlook. Our group covers the ideological spectrum. We are affiliated with a diverse set of organizations. We have been meeting informally for over a year, under the auspices of The Brookings Institution and The Heritage Foundation, to define the dimensions and consequences of the looming federal budget problem, examine alternative solutions, and reach agreement on what should be done. Despite our diverse philosophies and political leanings, we have found solid common ground. We… more

Drucker And the Complexities Of Race

Ron Tang — Thu, 27 Mar 2008 11:22:00 -0400

Long before so much of the nation became fixated on what was being preached inside black churches on Sunday mornings, Peter Drucker would go on occasion and listen for himself.

It was the late 1930s, and Drucker had just landed in New York, having fled the Nazis. Whenever he happened to spend the weekend in Washington, Drucker recalled years later, he would sneak into Rankin Chapel to be "shaken and moved" by Howard Thurman, the chaplain at Howard University. His was the kind of voice, said Drucker, that "reached the inner core of one's being."

Thurman's soul-stirring oratory, as well as relationships… more