The White House won’t update its budget and economic projections this summer. Since the 1970s, the president has released a “mid-session” budget upd
The White House won’t update its budget and economic projections this summer. Since the 1970s, the president has released a “mid-session” budget update in July or August, reflecting changes in unemployment, inflation and economic growth. Not this year. The White House will suspend the review, asserting that sharing projections in tumultuous economic times would be “misleading.” Former CBO director and GOP White House economic aide Doug Holtz-Eakin offers another reason: “It gets them off the hook for having to say what the economic outlook looks like” which is widely understood to be grim.
Speaking of indicators… Another 2.1 million more people filed for unemployment benefits last week, which brings the total of claims to over 40 million since the coronavirus pandemic hit in the middle of March. Claims may reflect new layoffs as well as states working through backlogged applications for benefits. One bit of good news: Some who filed claims earlier have returned to work. Still, the Commerce Department reports that gross domestic product fell 5 percent in the first quarter of the year.
The House votes to increase paycheck protection flexibility. Lawmakers voted overwhelmingly to give businesses more time and flexibility to use the CARES Act’s paycheck protection funds. Small businesses would be able to use the loans for up to 24 weeks. They also could spend up to 40…