Dean Baker

Many politicians and political figures tout homeownership for the low-income families as a path to the middle class and financial security. While homeownership can sometimes be a good way to build savings and provide a measure of economic security to low-income families, this is not always true. It is certainly not true when low-income families […]

The media seem to be applying a strict rule: the only experts cited on the meltdown of the subprime mortgage market are those who didn’t see it coming. Marketplace radio followed the pattern this morning (sorry, I didn’t catch the name and it’s not up yet on their site). Of course the real story here […]

The Washington Post presents some budget reporting that about 50 budget wonks will follow. How significant is a projected budget surplus of $132 billion in 2012 (0.7 percent of GDP) or $800 billion in tax revenue over the next five years (approximately 5 percent of projected revenue or $530 per person per year )? –Dean […]

The Washington Post reports on the release of new data showing a rapid rise in delinquency rates on subprime mortages. It would have been useful if the article had included the views of some analysts who were not surprised by this situation. –Dean Baker

The NYT gives its usual non-informative budget reporting this morning when discussing the extension of the State Children’s Health Insurance Program. It reports that Senator Hillary Clinton and Representative John Dingell are proposing to triple the size of the program at a cost of $50 billion (above current levels) over the next five years. Is […]

By my count, the NYT used “free trade” 5 times, not counting references to a trade deal known as the “North American Free Trade Agreement.” I am beginning to suspect that this could be a paid product placement. As I have pointed out endlessly, NAFTA did not free all trade — Mexican professionals still face […]

Robert Pear does what reporters are supposed to do in the NYT today. He does a little digging, and finds that new Medicaid rules requiring a birth certificate, or similar documentation, to receive benefits, are denying coverage to many citizens. The new rules are intended to prevent immigrants from receiving Medicaid benefits. But, many low-income […]

Those who have been following the news know that China’s central bank is planning to set up an investment fund to diversify its assets and increase its returns. The reports invariably describe the U.S. treasury bonds, which comprise much of the fund’s current holdings, as “safe,” but low yielding. Let’s play with some arithmetic here. […]

The reason for asking the question is that the NYT has an article today reporting on how bad social attitudes and an outdated educational system is forcing European businesses to look abroad for qualified workers. While people in Europe may have bad attitudes towards highly skilled professions and their educational system no doubt can be […]

The implosion of the subprime and the Alt-A portions of the mortgage market will have negative impact on the housing market this year. While the media has reported on the bankruptcies of some of the big lenders in this area, and the losses incurred by some of the major actors in the secondary market, they […]