Senate Tax Bill Faces Key Vote
November 28, 2017
New Federal Reserve Chair nominee pledges to continue policies of Yellen and Bernanke; 2018 global economic growth predictions strong.
- Senate tax bill faces key vote. A Tuesday meeting of the Senate budget committee had revealed some hurdles for the Republican tax bill. The bill, which the President hopes to sign by Christmas, is slated to be voted on in the Senate Budget Committee, after which it will be voted on by the full Senate. Republicans Ron Johnson and Bob Corker stand in the way, however. Both Senators are on the Senate Budget Committee, and have expressed concerns about the current legislation. Johnson has argued that the bill does little to help “pass through” entities like LLCs, and Corker expressed concerns it adds too much to the deficit. With just a slim one-member majority on the budget committee, a no vote from these two Senators will stall the bill. [Reuters]
Economic Indicators & News
- New Federal Reserve Chair nominee pledges to continue policies of Yellen and Bernanke. Federal Reserve Chair nominee Jerome Powell testified before the Senate Banking Committee Tuesday, and promised to “respond decisively” to economic threats—indicating he plans to continue the interventionist economic policies employed by the US central bank after the financial crisis. He stressed the apolitical, independent nature of the central bank, in contrast to some of the other finalist candidates for the position (and some Republican lawmakers), who have argued for more oversight on US monetary policy. Powell also indicated in his testimony that economic data reveal a strong case for a December rate. [Reuters]
- 2018 global economic growth predictions strong. New predictions from Goldman Sachs and Barclays indicate that global growth will likely climb to 4% next year, the strongest GDP growth figure since 2011, in the aftermath of the financial crisis. The figures are well above estimates for this year, when the global economy grew approximately 3.7% [Bloomberg]