U.S. Economic News
August 12, 2020
U.S. Economic Indicators
Consumer prices increased 0.6% in July (up 1.0% from a year ago) after rising 0.6% in June. The “core” CPI, which excludes food and energy, rose 0.6% in July – the largest increase since January 1991 – and is up 1.6% from last year. BLS Report
U.S. News
The Wall Street Journal reports that spending cuts by state and local governments are putting strain on the U.S. economic recovery as Congress debates how much federal aid to provide. Without additional aid, state and local budget shortfalls could reach an estimated $500 billion over the next two fiscal years, thwarting economic growth and threatening essential services. WSJ
Bloomberg reports that filings for IRS Employer Identification Numbers have surged in recent weeks, signaling that more and more Americans are opting to become self-employed as job prospects amid the pandemic remain weak. Recessions often lead to an increase in self-employment, though the current pace of new business filings has far surpassed that of the Great Recession. Bloomberg