David Malpass
David Malpass
David R. Malpassis an American economist and also ran in the 2010 Republican primary for U.S. Senate in New York. He is the founder and president of Encima Global LLC, an economic research and consulting firm based in New York City. He served as Deputy Assistant Treasury Secretary under President Ronald Reagan, Deputy Assistant Secretary of State under President George H. W. Bush, and Chief Economist at Bear Stearns...
NationalityAmerican
ProfessionEconomist
Date of Birth8 March 1956
CountryUnited States of America
The U.S. has a law on the books called the debt limit, but the name is misleading. The debt limit started in 1917 for the purpose of facilitating more national debt, not reducing it. It still serves that purpose. It's unconnected to spending, hurts our credit rating and has been an abject failure at limiting debt.
Earnings of corporations are going to be under more and more pressure.
The trade deficit is much more responsive to the growth and consumption differential than to exchange rates.
What you have been seeing over the last year is the policy of Jiang Zemin, not Deng Xiaoping.
To win elections, politicians have promised practically endless government spending and covered up the cost, leaving generations of taxpayers obligated to pay off the debt. Thats wrong, but neither the U.S. nor Europe has a plan to stop it.
When Congress legislates in haste, it often causes more problems than it solves. But Congress rarely reconsiders its mistakes.
It is more important what the jobs report shows in December and January -- that will affect how many rate hikes we'll have this spring.
The Fed should make a clear commitment to stable money to reduce the swings in interest rates and inflation. Instead, it champions and flaunts unstable money. This encourages momentum trading and the growth of derivatives. Meanwhile, layers of financial regulation make Washington bigger and more powerful but dont fix the underlying problems.
The tenth amendment said the federal government is supposed to only have powers that were explicitly given in the Constitution. I think the federal government's gone way beyond that. The Constitution never said that you could have a Federal Reserve that would have $2.8 trillion in assets. We've gotten out of control.
Politicians are addicted to spending and revenue extraction. As with an addict, there's little pause for moral or legal contemplation.
Already were seeing graduates of U.S. higher education going back to their home countries and contributing to societies there, where in the past they would have stayed in the U.S. and built new companies here. We have to have immigration reform that allows talented foreigners to become Americans.
We're not expecting a panicky financial market meltdown or much further dollar weakness.
The world is constantly in a race to the top, in terms of there's a limited amount of capital and you've got to figure where it's going. And if your currency is weakening, that means you're paying a load.
For small businesses, you need less taxes, less federal spending, and you need less regulation that blocks their growth.