If today’s better-than-expected good news in the ADP Employment Report is a sign of things to come, the freshly minted Republican takeover of the U.S. House of Representatives is starting with a favorable tailwind. Actually, make that a modestly less troubling tailwind.
Daily Archives: November 3, 2010
THE MORNING AFTER IN WASHINGTON: YOU WANT IT? YOU GOT IT
The Republicans took control of the House of Representatives in yesterday’s election and made progress but fell short of a majority in the Senate. The GOP, in other words, now has co-responsibility for the economy. Deciding if this is a political boon, or the equivalent of walking into a business cycle trap, will take time to assess. Meanwhile, this much is clear: the sluggish economy is no less sluggish now that the Republicans have a formal stake in the macro outcome. The only question is how the new party in power will influence policy in Washington and what that will mean, if anything, for the labor market, GDP, government debt levels, and all the rest.