Friday, October 26, 2012

Your 12 hourly digest for Business News, Financial News, Business Headlines & Analysis - The Washington Post

Business News, Financial News, Business Headlines & Analysis - The Washington Post
The source for business news and analysis. Covering economic policy, business policy, financial news, economic issues, stock market data, local business, technology and more.
White House considering new tax cut
Oct 27th 2012, 00:19

The White House is weighing the idea of a tax cut that it believes would lift Americans' take-home pay and boost a still-struggling economy, according to people familiar with the administration's thinking, as the presidential candidates continue battling over whose tax policies would do more for the country.

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The 2012 Election in Numbers: Friday, Oct. 26.
Oct 26th 2012, 23:00

Note as we near the election, were replacing Reconciliation with a roundup of what the days polls and model projections say, and what the latest ads are.

Real Clear Politics Latest Polls

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The fiscal cliff is already dragging down GDP
Oct 26th 2012, 21:10

Economic growth was better last quarter than analysts had expected, bolstered by higher consumer and government spending. But it could have been stronger if we werent approaching the fiscal cliff, economists say.

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So you want to defund Planned Parenthood? Texas gives other states a roadmap.
Oct 26th 2012, 19:31

A handful of states have passed laws that cut Planned Parenthood out of their Medicaid program. Most have been held up in legal wrangling, with numerous court decisions that disallow such regulations.

Thats not the case in Texas: After 15 months of court battles, it appears to have received the final go-ahead to cutoff Planned Parenthood. Its success in the courts where others have failed gives a sense of the trade-off states must make if they want to successfully cut off the health-care providers funding.

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Whats a good ground game worth? About one point.
Oct 26th 2012, 18:20

It all comes down to the ground game.

Thats perhaps the biggest cliche in electoral politics. And with national polls deadlocked and the election coming down to a few key swing states, its more pertinent than ever. It also represents a key advantage for the Obama campaign, which has gotten many more supporters out to vote early than the Romney campaign has. But how much can a good get-out-the-vote (GOTV) effort really get a candidate?

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Will Romney win the popular vote but lose the presidency?
Oct 26th 2012, 18:04

Its time to just say this clearly: A straightforward read of the polls suggests were likely to see Mitt Romney win the popular vote and Barack Obama win the electoral college and, thus, the presidency. But most pollsters dont think that will happen.

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How to tie a bowtie
Oct 26th 2012, 16:52

Consider this some Wonkblog news you can use, at least if youre an aspiring congressional staffer: a short little tutorial on how to tie a bowtie.

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Meet the fiscal cliff-divers, who think jumping off could be our best bet
Oct 26th 2012, 16:47

The very notion of a fiscal cliff suggests that the country is approaching a calamitous drop-off at the end of the year and it would be tantamount to suicide to jump off.

But a contingent of policy wonks and Democrats insist that letting the Dec. 31 deadline come and go thus triggering automatic tax increases and spending cuts could produce the best outcome for the country. Once the tax hikes have kicked in, the reasoning goes, Republicans would be hard-pressed to roll them all back and would have to accept a deal on taming the deficit that contains more new tax revenue than GOP lawmakers want.

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Why defense spending mysteriously surged 13% last quarter and boosted GDP
Oct 26th 2012, 15:40

On Friday, the government announced that the economy had grown at a 2 percent annual pace between July and September. That stunned many analysts, who were expecting much weaker growth. So what happened?

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The price of Medicaid expansion opt-outs: $53.3 billion
Oct 26th 2012, 15:38

The Supreme Court decided way back in June that the health laws expansion of Medicaid was optional rather than required. That decision, it appears, comes with a hefty price tag: $53.3 billion.

The National Association of Public Hospitals estimates that, in light of the decision, the United States will spend as much as $53.3 billion more on bills that go unpaid by the uninsured. Their analysis uses data from the Congressional Budget Office, which estimates that six million to10 million fewer Americans will gain insurance through Medicaid after the Supreme Court decision.

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The most important issue of this election: health reform
Oct 26th 2012, 15:13

According to the latest Wall Street Journal/NBC News poll, 55 percent of registered voters say the outcome of this election will make a great deal of difference in their lives. Thats a 10 percent increase over the 2004 election, and more than double the percentage of voters who felt that way about the elections of 1996 or 1992. The stakes this year are higher and most voters know it.

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The income gap between the rich and poor is growing. So is the gap in how much they buy.
Oct 26th 2012, 15:06

Everyone knows that the rich have been pulling away from the poor in terms of income and wealth. Thomas Piketty and Emmanuel Saez, not to mention the CBO, have established that pretty definitively.

But Kevin Hassett (a key Romney adviser) and Aparna Mathur at the American Enterprise Institute argue that that doesnt matter. Even if the rich are making more and more, they arent spending more and more. Hassett and Mathur claim, citing their own work as well as research by Dirk Krueger and Fabrizio Perri, that theconsumption gap across income groups has remained remarkably stable over time.

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Dont think drought is a big deal? It knocked 0.4% off growth last quarter.
Oct 26th 2012, 14:56

All summer long, the Midwest has been roiled by the worst drought in half a century. And its taking a surprisingly large toll on economic growth this year.

The U.S. economy grew at a 2 percent annual pace from July to September but it would have grown much more without the dry spell. All told, a drop in farm inventories shaved 0.42 points off growth last quarter, the Bureau of Economic analysis says. Thats after the drought shaved 0.17 points off growth in April through June.

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Limit on mortgage interest deduction would penalize only a minority of taxpayers
Oct 26th 2012, 14:33

The idea of limiting the homeowner mortgage interest deduction came up in two of the presidential debates, but specifics about who would be affected and how much they might lose in tax benefits were minimal. To put some rough numbers on the issue, here's a quick primer on the mortgage interest deduction and related housing write-offs.

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O'Malley tries again to relocate housing agency to Prince George's County
Oct 26th 2012, 13:53

Less than a week after Maryland Gov. Martin O'Malley's administration scrapped its plan to build a new housing agency headquarters in Prince George's County, the state is giving it another try.

O'Malley's Department of General Services has posted a new Request for Proposals on its Web site outlining a re-worked search for developers interested in leasing or building office space in Prince George's County for the Department of Housing and Community Development.

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Microsoft Surface in stores today: what to know before you buy
Oct 26th 2012, 13:51

Microsoft's Surface tablet is finally in stores Friday, months after consumers got their first look at it.

The Surface tablet has gotten high praise from reviewers who say its clean lines and solid build are a joy to use.

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Dont believe the GDP report!
Oct 26th 2012, 13:28

The U.S. economy grew at a 2 percent annual rate in the third quarter of 2012, according to figures from the Bureau of Economic Analysis. Thats certainly better than the data from the second quarter, when the economy expanded at a mere 1.3 percent rate.

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