economy Archives - The Virginia Star

Manchin Reportedly Calls on Democrats to Push Budget Back to 2022

September 21, 2021September 20, 2021 Virginia Star Staff

Democratic West Virginia Sen. Joe Manchin reportedly said in private that the “strategic pause” he has pushed for regarding his party’s budget should last through the end of the year.

Manchin’s remarks, first reported by Axios, would mean a sharp departure from Democrats’ long-stated goals, which include passing both the budget and the bipartisan infrastructure bills before the end of September.

His remarks align both with a Wall Street Journal op-ed he wrote earlier this month and recent comments he made calling for a “pause” on the budget as Congress addressed other priorities ranging from a messy Afghanistan withdrawal to multiple natural disasters.

Retail Sales Surprisingly Increased Last Month After Plummeting in July

September 19, 2021September 18, 2021 Admin

Retail sales unexpectedly increased last month despite continued challenges facing the economy as it recovers from the coronavirus pandemic.

Sales ticked up 0.7% in August relative to July and totaled $618.7 billion, according to a Census Bureau report published Thursday. E-commerce, furniture, general merchandise, building materials and energy purchases drove last month’s sales increase.

Dow Jones economists had expected sales to decline 0.8%, CNBC reported. In July retail sales posted a sharp 1.8% decline as coronavirus cases surged, the Census report said Thursday.

Commentary: New Study Vindicates States that Canceled Expanded Unemployment Welfare Early

September 13, 2021September 12, 2021 Virginia Star Staff

Debate over the welfare state is once again making headlines. On Monday, the expanded unemployment welfare system was finally allowed to expire after more than a year. Originally created as a “short-term” measure authorized for a few months in March 2020 then repeatedly extended, these benefits paid many of the unemployed more than their former jobs, with benefits reaching up to $25/hour in dozens of states.

Dozens of Republican-led states chose to end the benefits early. This week’s termination of enhanced benefits was in the Democrat-run states that maintained the expanded payouts, and with their lapse, the debate over whether these benefits were disincentivizing work was reignited.

The Global Chip Shortage Will Have a Major Impact on Consumers

September 11, 2021September 10, 2021 Virginia Star Staff

The global chip shortage is beginning to impact consumers, driving up prices of smartphones, vehicles and personal electronics as manufacturers struggle to keep up with rising demand.

“We’re seeing 5% to 10% price increases right now,” Glen O’Donnell, vice president and research director at Forrester, told the Daily Caller News Foundation. “They will increase more as this issue drags on.”

Semiconductors, the internal components essential to the functioning of almost every electronic device, have been in short supply since early 2020 due to high consumer demand of mobile electronics cloud services, and other products that require computer chips, according to O’Donnell. The COVID-19 pandemic exacerbated the problem by stalling semiconductor production and disrupting supply chains, with demand for consumer electronics only skyrocketing due to more people working from home.

Hunger Didn’t Rise During Pandemic Thanks to Government Programs, Study Says

September 11, 2021September 10, 2021 Virginia Star Staff

The expansion of several government programs last year likely prevented hunger from rising despite the sudden economic downturn caused by the pandemic, a study showed.

The percentage of U.S. households that reported food insecurity was virtually unchanged in 2020 compared to the year prior despite the recession, according to a report from the Department of Agriculture’s Economic Research Service released Wednesday. More than 20.5 million Americans lost their jobs in April 2020 as state and local officials implemented strict restrictions on business activity to curb the spread of coronavirus, Labor Department data showed.

“This is huge news — it shows you how much of a buffer we had from an expanded safety net,” Urban Institute researcher Elaine Waxman told The New York Times. “There was no scenario in March of 2020 where I thought food insecurity would stay flat for the year. The fact that it did is extraordinary.”

U.S. Economy Added Just 235,000 Jobs in August, Way Short of Economists’ Projections

September 4, 2021September 3, 2021 Virginia Star Staff

Woman organizing table contents in restaurant

The U.S. economy added 235,000 jobs in August and the unemployment rate fell to 5.2%, according to Department of Labor data released Friday.

The number of unemployed people decreased to 8.4 million, according to the Bureau of Labor Statistics report. Economists projected 720,000 Americans — roughly three times the actual number — would be added to payrolls prior to Friday’s report, The Wall Street Journal reported.

“Despite the delta variant, there is still an opening up of the service sector of the U.S. economy,” Nationwide Mutual Insurance Chief Economist David Berson told the WSJ. “While that started some months ago, it’s not nearly complete.”

Inflation Measure Surges Again, Hits New Three-Decade High

August 28, 2021August 27, 2021 Virginia Star Staff

People on an escalator in an indoor shopping mall

An index measuring inflation surged at an annual rate of 4.2% last month, reaching its highest level since 1991, according to the Department of Commerce.

The personal consumption expenditures (PCE) index, which measures prices, increased 4.2% in the 12-month period between August 2020 and July 2021, according to a Department of Commerce report published Friday. Excluding volatile food and energy prices, the index spiked 3.6%, the report showed.

The last time consumer prices increased this much in one year was more than three decades ago in January 1991, CNBC reported. The figure reported Friday is in line with what economists expected.

Retail Sales Dipped in July Amid Spiking Coronavirus Cases

August 18, 2021August 17, 2021 Virginia Star Staff

Retail sales in the U.S. declined in July as the number of coronavirus cases spiked, localities renewed some restrictions and businesses delayed their return to in-person work.

Sales dropped 1.1% in July compared to June and totaled $617.7 billion, according to the Census Bureau report released Tuesday. The decrease was driven mainly by declining used and new car sales, clothing purchases, building materials sales, sports goods sales and furniture purchases.

Economists expected retail sales to fall 0.3%, a relatively modest drop compared to the actual decline, CNBC reported. All major stock market indices declined between 0.5% and 0.8% on Tuesday morning following the worse-than-expected report.

Biden ‘Inflation Tax’ Erases Gains in Workers’ Pay, as Democrats’ Own Economists Admit Fears

August 13, 2021August 12, 2021 Virginia Star Staff

One promise from the U.S. economy emerging from the pandemic was that American workers would benefit from a tight labor pool driving up salary and pay. And while that happened, the benefits have all been erased by the sudden surge of inflation on President Biden’s watch.

That means workers aren’t running in place, they are actually falling behind as rising prices force middle- and working-class families to make hard choices, like whether to fill the gas tank or the refrigerator.

Inflation topped out at 5.4% in July, the government reported Wednesday, the third straight month above 5%. When President Trump left office in January, inflation was in check at just 1.4%.

U.S. Economy Added Whopping 943,000 Jobs in July as Recovery Accelerates

August 7, 2021August 6, 2021 Virginia Star Staff

Group of people gathered, talking next to an office desk

The U.S. economy reported an increase of 943,000 jobs in July and the unemployment rate fell to 5.4%, according to Department of Labor data released Friday.

Total non-farm payroll employment increased by 850,000 in July, according to the Bureau of Labor Statistics report, and the number of unemployed persons decreased to 8.7 million. Economists projected 845,000 Americans would be added to payrolls prior to Friday’s report, The Wall Street Journal reported.

“The jobs recovery is continuing, but it’s different in character to any we’ve seen before,” payroll software firm ADP economist Nela Richardson told the WSJ. “I had been looking at September as a point when we could gain momentum—with schools back in session and vaccines widely available. But with the delta variant, we need to rethink that.”

The Congressional Budget Office Says the Bipartisan Infrastructure Bill Will Increase Deficits by $256 Billion over 10 Years

August 6, 2021 Admin

The Congressional Budget Office estimated Thursday that the bipartisan Senate infrastructure bill will add $256 billion to the deficit over the next decade, undercutting its backers’ claims the spending had been offset.

In FY2020, the deficit hit a record $3.1 trillion. So far in FY2021, the deficit is $2.2 trillion. The national debt is climbing to $29 trillion for the first time in U.S. history.

Jobless Claims Fall Below 400,000, Hit Economists’ Expectations

August 6, 2021August 5, 2021 Virginia Star Staff

The number of Americans filing new unemployment claims decreased to 385,000 last week as the economy continues its recovery from the coronavirus pandemic, according to the Department of Labor.

The Bureau of Labor and Statistics figure released Thursday represented a slight decrease in the number of new jobless claims compared to the week ending July 24, when 399,000 new jobless claims were reported. That number was revised down from the 400,000 jobless claims initially reported last week.

Report: Private Companies Added Half as Many Jobs as Expected in July

August 5, 2021August 4, 2021 Virginia Star Staff

Private companies added 330,000 jobs in July, far fewer than expected and the lowest amount since February, according to a major payroll report.

The 330,000 jobs added to private payroll last month represented a significant decline from the 680,000 jobs added in June, the ADP National Employment Report showed. Economists predicted that private companies would add 653,000 jobs in July, nearly double the number reported Wednesday, according to CNBC.

Study: Chip Shortages and Pandemic Caused Used Car Prices to Jump 31 Percent in Detroit

August 5, 2021August 4, 2021 The Center Square

Used car prices keep climbing in Detroit.

According to iSeeCars’ newest study, used car prices in June increased by 31.4% or $7,179, in Detroit year over year as a result of the microchip shortage and the COVID-19 pandemic.

Commentary: The Elites’ Abuse of Average Americans

August 2, 2021August 1, 2021 Virginia Star Staff

When I went to pick up my laundry last week, one of the employees, who had just finished folding my clothes, began weeping. “This is the last load I’ll ever do here,” she said in a choked voice. “They’re letting us all go.”

That one little stifled sob described more than just one woman bemoaning the loss of her job. In it was the relentless cry of the average American who is increasingly crushed by the ignorance of our elites.

Key Inflation Measure Spikes Again, Hits Highest Level Since 1991

July 31, 2021July 30, 2021 Virginia Star Staff

Person in white shirt, walking into Gap store

A consumer price measurement used by the Federal Reserve to track inflation spiked again in June and hit its highest level since 1991, government data showed.

The personal consumption expenditures (PCE) price index increased 4% over the 12 months between July 2020 and June, according to a Bureau of Economic Analysis report released Friday. Excluding volatile energy and food prices, the index spiked 3.5% in that same 12-month period.

The index increased 0.5% in June, in line with economists’ forecasts, CNBC reported.

“Inflation has increased notably and will likely remain elevated in coming months before moderating,” Federal Reserve Board Chair Jerome Powell said during a press conference this week. “As the economy continues to reopen and spending rebounds, we are seeing upward pressure on prices, particularly because supply bottlenecks in some sectors have limited how quickly production can respond in the near term.”

PayPal Teams Up with Far-Left Anti-Defamation League to Target Right-Wing Users

July 28, 2021July 27, 2021 Virginia Star Staff

On Monday, the Anti-Defamation League (ADL), a far-left hate group, announced a new initiative in conjunction with the online payment processor PayPal, aimed at targeting so-called “extremist and hate movements” on the platform, the Daily Caller reports.

The partnership is led by the ADL’s “Center on Extremism,” and will involve the ADL studying the use of PayPal’s services by alleged “extremists,” and sharing their findings with politicians and law enforcement, for the purpose of disrupting “the financial pipelines that support extremist and hate movements.” PayPal’s Chief Risk Officer Aaron Karczmer released a statement celebrating the new program as having the potential to make “an even greater impact than any of us could do on our own.”

PayPal has frequently and exclusively targeted conservatives in recent years, while ignoring actual extremism from the Left. Following the peaceful protests at the United States Capitol on January 6th, PayPal suspended its services for several organizations and individuals that paid for travel expenses for people attending the march, which was in protest of the widespread voter fraud that took place in the 2020 election. PayPal also banned the anti-terrorism website Jihad Watch in August of 2017, after Antifa and Black Lives Matter rioters attacked a peaceful right-wing protest in Charlottesville, Virginia, leading to the death of one left-wing protester.

Janet Yellen Warns of ‘Irreparable Harm’ If Congress Doesn’t Raise the Debt Ceiling

July 26, 2021July 25, 2021 Virginia Star Staff

Treasury Secretary Janet Yellen warned congressional leaders Friday that failing to raise the debt ceiling would risk “irreparable harm to the U.S. economy and the livelihoods of all Americans.”

In a letter, Yellen said that she did not know how long the Treasury Department could prevent the U.S. from defaulting on its debt, which could carry catastrophic economic consequences. The debt ceiling is set to expire on Aug. 1.

Biden’s Approval Rating Hits Lowest Point Since Taking Office

July 24, 2021July 23, 2021 Virginia Star Staff

As President Joe Biden faces concerns over the economy and the crisis at the southern border, his polling numbers have dipped to the lowest point since he took office.

Polling data released by Gallup found that Biden’s approval rating has dropped to 50%, down six points from the previous month.

Jobless Claims Surge Past 400,000, Far Higher Than Economists’ Expectations

July 23, 2021July 22, 2021 Virginia Star Staff

The number of Americans filing new unemployment claims increased to 419,000 last week as the economy continues its recovery from the coronavirus pandemic, according to the Department of Labor.

The Bureau of Labor and Statistics figure released Thursday represented a large increase in the number of new jobless claims compared to the week ending July 10, when 368,000 new jobless claims were reported. That number was revised up from the 360,000 jobless claims initially reported last week.

Small Business Owners Struggling to Find Workers

July 19, 2021July 18, 2021 The Center Square

Small business owners are continuing to have problems attracting new workers in the wake of the coronavirus pandemic and are trying to entice them with new incentives, a new report from the U.S. Chamber of Commerce shows.

“Small businesses are bearing the brunt of the current worker shortage,” said Tom Sullivan, vice president of small business policy at the Chamber. “Many have given up on actively recruiting new workers as it is too hard to find skilled and experienced workers for their open positions.”

Commentary: Inflation Has Arrived

July 17, 2021July 16, 2021 Virginia Star Staff

Wildly excessive federal spending is causing major inflation and shortages, which may lead to a recession and perhaps a financial crisis. Despite the evidence of inflation, Congress is proposing to spend $3.5 trillion on top of the $1.9 trillion COVID relief bill passed earlier this year and the intended $1.2 trillion infrastructure bill. For comparison, federal revenue is only expected to be $3.8 trillion this year.

Evidently, the Democratic Party and President Joe Biden have adopted Modern Monetary Theory (MMT) to the peril of every American citizen. MMT, which is similar to Keynesian economics, says that the U.S. should not be constrained by revenues in federal government spending since the government is the monopoly issuer of the U.S. dollar. MMT is a destructive myth that provides cover for excessive government spending. And it’s not modern, since reckless government spending has been around for thousands of years.

Embracing MMT is similar to providing whiskey and car keys to teenage boys. We know the outcomes will not be good.

U.S. Retail Sales Increased as States Ended Restrictions

July 17, 2021July 16, 2021 Virginia Star Staff

Male checking out on Square program at retail store

U.S. retail sales jumped in June, boosted by states widely loosening coronavirus restrictions and businesses returning to full capacity.

Retail sales increased 0.6% and totaled $621.3 billion in June, according to the Department of Commerce report released Wednesday. The monthly increase was driven by general merchandise, including food service, clothing, personal care, electronics and gasoline sales, the report showed.

“Sectors that were buoyed by the pandemic are slowing down a little bit, but not to a degree that I’d be concerned about,” Square economist Felipe Chacon told The Wall Street Journal. “Household finances have been bolstered by a few rounds of stimulus spending, so it bodes pretty well.”

AOC Urges Illegal Immigrant Parents of Children Born in the US to Register for Biden’s Child Care Tax Credit Payments

July 10, 2021July 9, 2021 Virginia Star Staff

Democratic New York Rep. Alexandria Ocasio-Cortez urged illegal immigrants who are parents to children born in the U.S. to register for President Joe Biden’s child care tax credit payments on Thursday, video shows.

Parents and guardians will receive checks of $250 to $300 per child monthly until the end of 2021 including undocumented adults who care for children with valid Social Security numbers, according to Ocasio-Cortez.

“These centers are also offering help to undocumented folks with eligible children,” Ocasio-Cortez said. “So any child with a social security number is eligible. Do not count yourself out … if a parent and guardian is undocumented.”

Business Groups Slam Biden’s ‘Flawed’ Competition, Antitrust Executive Order

July 10, 2021July 9, 2021 Virginia Star Staff

President Joe Biden’s competition and antitrust executive order will harm American consumers, groups representing both large and small businesses said.

The leading groups — including the Chamber of Commerce, Job Creators Network (JCN) and the National Association of Manufacturers (NAM) — slammed Biden’s executive order, arguing that it will harm competition and present a host of challenges to small businesses. The business groups said the order is an example of big government attempting to exert control over the free market via onerous rules and regulations.

“This executive order amounts to a bizarre declaration against American businesses, from the largest to the smallest,” Small Business and Entrepreneurship (SBE) Council Chief Economist Raymond Keating said in a statement. “It’s hard to understand why a White House would go down such a path, especially as the economy is digging out from the COVID-19 disaster.”

Jobless Claims Increase to 373,000, Above Economists’ Predictions

July 9, 2021July 8, 2021 Virginia Star Staff

The number of Americans filing new unemployment claims increased to 373,000 last week as the economy continues to recover from the coronavirus pandemic, according to the Department of Labor.

The Bureau of Labor and Statistics figure released Thursday represented a slight increase in the number of new jobless claims compared to the week ending June 26, when 371,000 new jobless claims were reported. That number was revised up from the 364,000 jobless claims initially reported last week.

Economists expected Thursday’s jobless claims number to come in around 350,000, The Wall Street Journal reported.

Commentary: A Warning About Joe Biden’s Power Plan

July 9, 2021July 8, 2021 RealClearWire

With President Biden pressing on with attacks against America’s oil and natural gas workers to push his environmental agenda, it’s past time to shed a little light on the failure he’s promoting. He may claim that his proposal to produce 80% of America’s electricity through non-carbon sources is a bold new idea, it’s actually a green failure that he’s trying to recycle…and we’ve got the receipts from two states to prove it.

Let me introduce you to California and Arizona, two neighboring states where one has embraced the Biden Green Plan for years while the other rejected it. Rest assured, Biden, John Kerry, and their army of eco warriors are hoping you ignore the following inconvenient truths.
In November 2018, Arizona voters soundly defeated Prop 127 by a margin of more than 2 to 1. The ballot measure was heavily pushed by former presidential candidate current extreme eco-leftist billionaire Tom Steyer. Similar to Biden’s plan, Prop 127 required Arizona to get 50 percent of its power from “renewable” sources by 2030. Keep in mind, these are the same voters that would elect a Democrat to the US Senate and give its electoral votes to Biden just two years later, tipping the presidential race toward the left. In other words, Prop 127, less restrictive than the Biden plan, proved to be too extreme for down-the-middle voters.

Commentary: Does Biden Deserve Credit for Job Gains?

July 8, 2021July 7, 2021 Virginia Star Staff

The White House Facebook page crowed, “3,000,000 jobs created since President Biden took office” in response to the Labor Department’s Employment Situation report on July 2. But do they deserve any credit for these job gains?

Commentary: It is Time to Fight for the Rights of Independent Businesses

July 5, 2021 Virginia Star Staff

As a very young man, I was fortunate enough to start my own company out of my apartment using a small amount of investment capital from friends and family. Over time, that business grew to have over 6,000 employees and revenues in excess of $2 billion. Over nearly a 40-year span, my team and I built what some would consider a remarkable track record, as measured by both sales and profits.

Because of my experience growing that business, I feel a special kinship with small, privately owned businesses and their owners. I also come from a middle-class background, one that shaped me into the person I am today. It is through both the lens of entrepreneur and member of the middle-class that I look through when reflecting upon this Independence Day.

Economy Added 850,000 Jobs in June, Well Above Economists’ Forecasts

July 3, 2021July 2, 2021 Virginia Star Staff

Person using a laptop, pointing to the screen

The U.S. economy reported an increase of 850,000 jobs in June and the unemployment rate ticked up to 5.9%, according to Department of Labor data released Friday.

Total non-farm payroll employment increased by 850,000 in June, according to the Bureau of Labor Statistics report, and the number of unemployed persons increased to 9.5 million. Economists projected 700,000 Americans would be added to payrolls prior to Friday’s report, according to The Wall Street Journal.

“This is a trickier phase of the recovery,” Wells Fargo senior economist Sarah House told The New York Times.

Business Owner Says She’ll Go Under If Border Restrictions Aren’t Lifted

June 28, 2021June 27, 2021 Virginia Star Staff

inside of grocery store; close up of products in the aisle

The only grocery store in Point Roberts, Washington, will be forced to close if travel restrictions between the U.S. and Canada aren’t lifted by July 15, the Associated Press reported Thursday.

Point Roberts Marketplace store owner Ali Hayton said the market relies on shoppers who haven’t been able to visit for more than 15 months and that government assistance did little to help the struggling shop, the AP reported. The store received two loans from federal pandemic relief programs, though the funds were used in a week.

“Now that I see that there is absolutely no end in sight, I can’t do it anymore,” Hayton said, according to the AP. “I cannot financially keep subsidizing all of this by myself.”

Maryland Announces over 500,000 New Potentially Fraudulent Unemployment Claims Since May

June 28, 2021June 27, 2021 Virginia Star Staff

Maryland officials say they suspect over 508,000 new, potentially fraudulent unemployment claims have been filed since May.

The announcement Monday followed the state saying it has verified over 1.3 million fraudulent claims since the beginning of COVID-19 pandemic.

The most common means of filing a fraudulent claim is identity theft, according to CNN.

Just 14 States Had Positive Job Growth in May

June 26, 2021June 25, 2021 Virginia Star Staff

Just 14 states saw positive employment growth between April and May while the majority of the growth was concentrated in a handful of states, according to the Department of Labor.

Fourteen states led by California, Florida and Texas experienced significant job growth, 35 states experienced stagnant job growth and Wyoming saw a decline in employment last month, according to a Department of Labor report released Wednesday. Overall, the unemployment rates in 21 states decreased between April and May while every state’s employment improved compared to May 2020.

While the U.S. continues to report increased job growth, the report showed that the vast majority of the growth has come from about a dozen states.

Jobless Claims Decrease Slightly as Economic Recovery Continues

June 25, 2021June 24, 2021 Virginia Star Staff

The number of Americans filing new unemployment claims decreased to 411,000 last week as the economy continues to recover from the coronavirus pandemic, according to the Department of Labor.

The Bureau of Labor and Statistics figure released Thursday represented a decrease in the number of new jobless claims compared to the week ending June 12, when 418,000 new jobless claims were reported. That number was revised up from the 412,000 jobless claims initially reported last week.

Economists expected Thursday’s jobless claims number to come in around 380,000, The Wall Street Journal reported.

Commentary: Making Sense of the Post-Pandemic Economy

June 25, 2021June 24, 2021 Virginia Star Staff

Guy on phone with stocks on computer screen

Are you having a hard time understanding why the housing market is heating up, and why the cost of essentials such as milk, eggs, and gas is climbing? Are you in the market for a used car? Then you know how expensive those are right now. And why can’t businesses find employees, yet millions remain unemployed? Economists agree the recovery isn’t like anything we’ve seen before. That’s because we’ve never had a situation before where the heavy hand of government shut down private enterprises on a nationwide scale. The market distortions are enormous. As states reopen, there is a herky-jerky feel to the economy that has many people unsettled.

Former Federal Reserve vice chairman Alan Blinder wrote in the Wall Street Journal recently, “the recovery is not linear. Rather, it is proceeding in fits and starts. Sales of physical goods, for example, dipped only briefly when Covid hit, recovered quickly, and are now well above their pre-pandemic levels. In stark contrast, businesses that deliver personal services, such as restaurants and hotels, suffered a devastating depression and are still below their pre-pandemic levels.”

By far the most uneven outcome so far since the economy crashed in spring 2000, besides the 7.6 million fewer jobs compared to pre-pandemic levels, has been inflation, which is up 5 percent the past 12 months.

Commentary: New Harvard Data (Accidentally) Reveal How Lockdowns Crushed the Working Class While Leaving Elites Unscathed

June 20, 2021June 19, 2021 Virginia Star Staff

Founding father and the second president of the United States John Adams once said that “Facts are stubborn things; and whatever may be our wishes, our inclinations, or the dictates of our passion, they cannot alter the state of facts and evidence.” What he meant was that objective, raw numbers don’t lie—and this remains true hundreds of years later.

We just got yet another example. A new data analysis from Harvard University, Brown University, and the Bill and Melinda Gates Foundation calculates how different employment levels have been impacted during the pandemic to date. The findings reveal that government lockdown orders devastated workers at the bottom of the financial food chain but left the upper-tier actually better off.

The analysis examined employment levels in January 2020, before the coronavirus spread widely and before lockdown orders and other restrictions on the economy were implemented. It compared them to employment figures from March 31, 2021.

After Skyrocketing to Record Highs, Lumber Prices Fall Back to Earth

June 16, 2021June 15, 2021 Virginia Star Staff

Close up of wood after being cut down - lumber yard

Lumber prices have begun to drop following record highs, with futures closing Monday at their lowest price in over two months.

Lumber futures reached their highest-ever price in early May according to Nasdaq, trading at $1,711.20 per thousand board feet. Futures closed Monday at $966.20 per thousand board feet, still well above pre-pandemic levels which hovered around $400.

Prices skyrocketed due to a variety of factors, including supply chain disruption due to COVID-19 restrictions, labor shortages, and higher demand due to the surge in the housing market, according to a report by Wells Fargo economists. The report noted that while prices were unlikely to return to pre-pandemic levels, restarting domestic lumber production and restoring domestic supply chains would stabilize the market.

Commentary: Minimum Wage Hikes Led to Lower Worker Compensation, New Research Shows

June 13, 2021June 12, 2021 Virginia Star Staff

Opponents of minimum wage laws tend to focus their criticism on one particular adverse consequence: by artificially raising the price of labor, they reduce employment, particularly for the most vulnerable in society.

“Minimum wage laws tragically generate unemployment, especially so among the poorest and least skilled or educated workers,” economist Murray Rothbard wrote in 1978. “Because a minimum wage, of course, does not guarantee any worker’s employment; it only prohibits, by force of law, anyone from being hired at the wage which would pay his employer to hire him.

Though some economists, such as Paul Krugman, reject Rothbard’s claim, a recent study found the overwhelming body of academic research supports the idea that minimum wage laws increase unemployment.

Commentary: China’s Three-Child Policy Shows Xi Jinping Is Terrified

June 13, 2021June 12, 2021 Virginia Star Staff

The Chinese government has carried out a massive population control campaign since the 1970s with the hope that it would generate economic prosperity. The government unremorsefully forced women to receive abortions, pressured or forced millions of women to be sterilized, and punished families with multiple children with debilitating fines. More than 300 million children were aborted under China’s one-child policy.

Last week, the Chinese government ended the two-child policy, which had been in effect since 2016, and instead enacted a three-child policy. The new policy is essentially an admission that the Chinese Communist Party’s heinous population control policies will not give it the riches it had hoped for. Instead, the population control program will deliver a demographic disaster, which will ravage the country’s economy for generations.

Many economists recognize that population control never improved China’s economy — that was the result of increased freedom in the marketplace and foreign investment. And the Malthusian crisis the government was so desperately trying to avoid with population control was an entirely false specter.

Commentary: Massive Government Spending Has Caused High Inflation Levels and a Weakening U.S. Dollar

June 12, 2021June 12, 2021 Virginia Star Staff

Inflation is up 4.92 percent the past 12 months as of May, the most since July 2008’s 5.5 percent, according to data compiled by the Bureau of Labor Statistics, amid a torrent of trillions of dollars of government spending, Federal Reserve money printing and a weakening dollar combined with the continued economic rebound led by reopening businesses from the 2020 Covid lockdowns.

The past three months alone, inflation has grown at an accelerated rate of 2 percent combined. If that trend were to hold up for the rest of the year, inflation would come closer to 8 percent.

In the month of May, price jumps in fuel oil at 2.1 percent and piped gas service at 1.7 percent offset a 0.7 percent drop in gasoline prices. In addition, new car prices grew 1.6 percent. Used cars and trucks grew at 7.3 percent again after a 10 percent jump in April. Apparel jumped 1.2 percent. And transportation services grew 1.5 percent after a 2.9 percent jump in April.

Yellen Admits Inflation Is About to Surge But Says It Will Be ‘Plus For Society’s Point of View’

June 8, 2021June 7, 2021 Virginia Star Staff

Increased inflation could ultimately be a net positive for the U.S. economy and large government spending won’t overheat the economy, Treasury Secretary Janet Yellen told Bloomberg.

Treasury Secretary Janet Yellen, who previously chaired the Federal Reserve, said the central bank has been more concerned about inflation levels that are too low, according to Bloomberg. Increasing consumer prices could signal a return to normal, she said.

“We’ve been fighting inflation that’s too low and interest rates that are too low now for a decade,” Yellen told Bloomberg in an interview Sunday.

Economy Added 559,000 Jobs in May, Below Expectations for Second Straight Month

June 5, 2021June 4, 2021 Virginia Star Staff

The U.S. economy reported an increase of 559,000 jobs in May and the unemployment rate declined to 5.8%, according to Department of Labor data released Friday.

Total non-farm payroll employment increased by 559,000 in May, according to the Bureau of Labor Statistics (BLS) report, and the number of unemployed persons dropped to 9.3 million. Economists projected 671,000 Americans would be added to payrolls prior to Friday’s report, according to The Wall Street Journal.

“We think it will take several months for frictions in the labor market to work themselves out,” Barclays chief U.S. economist Michael Gapen told the WSJ. “That just means we shouldn’t be expecting one to two million jobs every month. Instead, it will be a more gradual process.”

More Americans Lack Confidence in U.S. Economy

May 26, 2021May 25, 2021 The Center Square

As economic figures cast doubt on a post-COVID economic boom, the latest polling data show Americans lack confidence in the economy under President Joe Biden.

New polling data released by Gallup Monday shows Americans are not confident in the economy and are largely unhappy with the nation’s current trajectory.

The poll found only 36% of Americans are “satisfied with the way things are going.” Specifically on the economy, Americans also are pessimistic.

Former President Trump Releases Statement on Primary Poll, Biden, and Future Social Media Platform

May 25, 2021May 24, 2021 Cooper Moran

President Donald Trump released a statement on Monday that underscored his popularity, President Biden’s bad ratings, and his future social media platform.

The statement comes in response to President Biden’s concerning policy decisions and multiple inaccurate media reports on Trump’s actions.

Senate Republicans Expand Investigation into ‘Woke Mission Creep’ of Federal Reserve

May 25, 2021May 24, 2021 Virginia Star Staff

Senate Banking Committee Republicans have expanded an investigation into regional Federal Reserve banks over their alleged “woke mission creep.”

Republicans on the Senate Banking Committee sent letters to regional Federal Reserve banks in Minneapolis, Boston and Atlanta demanding a briefing with leaders and documents related to a recent “Racism and the Economy” initiative, GOP staffers said during a press briefing Monday morning. Engaging in political advocacy is out of the Fed’s purview, the letters said.

“Of course, racism is abhorrent and has no place in our society…. I recognize the interest in studying economic disparities along demographic lines, such as race and gender,” Banking Committee Ranking Member Pat Toomey wrote in the letters sent Sunday.

Jobless Claims Hit Fresh Pandemic Low as Americans Return to Work

May 21, 2021May 20, 2021 Virginia Star Staff

Photo “Unemployment Insurance Claims Office” by Bytemarks. CC BY 2.0.

The number of Americans filing new unemployment claims dropped to 444,000 last week as the economy continues to slowly recover from the coronavirus pandemic, according to the Department of Labor.

The Bureau of Labor and Statistics figure released Thursday represented a decrease in the number of new jobless claims compared to the week ending May 8, when 478,000 new jobless claims were reported. That number was revised up from the 473,000 jobless claims initially reported last week.

Commentary: After Wrecking The Economy, Northam Finally Lifts (Most) COVID Restrictions

May 17, 2021May 16, 2021 Virginia Star Staff

One thing proved certain.

When the nation’s only doctor cum governor was thrust into greatness, Northam had a chance to be a physician.

Instead, Northam was every bit the live-birth abortionist he advertised being long before his blackface scandal.

Commentary: The U.S. Economy and Its Lack of Sustainability

May 11, 2021May 10, 2021 Virginia Star Staff

American flag with $100 bills and stethescope

Is the economy booming or is it riding a wave of paper money with no real underlying sustainability? That is the question which policy makers in Washington, DC should be considering.

The truth is no one actually knows, but that is exactly why this discussion must be had.

Since the China virus was inflicted upon the world, it is indisputable that the federal government has authorized $5 Trillion between the Trump spending of $3.1 Trillion to meet the crisis and Biden’s recently passed additional $1.9 trillion so he could sign checks to people too. This is on top of the $1 Trillion in planned deficits during the 2020 fiscal year.

Jobless Claims Fall to 498,000, Hit New Pandemic Low Once Again

May 7, 2021May 6, 2021 Virginia Star Staff

The number of Americans filing new unemployment claims dropped sharply to 498,000 last week as the economy continues to recover from the coronavirus pandemic, according to the Department of Labor.

The Bureau of Labor and Statistics figure released Thursday represented a large decrease in the number of new jobless claims compared to the week ending April 24, when 590,000 new jobless claims were reported. That number was revised up from the 553,000 jobless claims initially reported last week.

Jobless Claims Drop to 576,000, Lowest Level Since March 2020

April 16, 2021April 15, 2021 Virginia Star Staff

The number of Americans filing new unemployment claims dropped to 576,000 last week as the economy continues to recover from the coronavirus pandemic, according to the Department of Labor.

The Bureau of Labor and Statistics figure released Thursday represented a large decrease in the number of new jobless claims compared to the week ending April 3, when 769,000 new jobless claims were reported. That number was revised up from the 744,000 jobless claims initially reported last week.