This paper will describe the current dynamic provision of cybersecurity and explain how a technocratic solution like the Cybersecurity Framework could weaken this process and ultimately undermine cybersecurity.
This week’s charts use data from the Congressional Budget Office and Internal Revenue Service to display average estimated federal tax burdens in 2010 and EITC trends from 1975 to 2010. The data show that, contrary to popular belief, federal tax burdens are quite low—and sometimes negative—for the lowest quintiles of the income distribution. Trends in EITC spending and beneficiaries over the past four decades shed more light on the program’s growing prominence.
This week’s chart uses data from the Urban-Brookings Tax Policy Center to update a chart on average effective federal rates. The chart compares the average effective rate at which earners in different income quintiles are taxed by the federal government using newly available numbers for 2011.
Income equality and social mobility are important issues for many Americans. While many have been pessimistic about income distribution trends in recent years, arguing that the rich have gotten richer while low- and middle-incomes have been stagnating, the data reveal a more nuanced story.
Regulatory impact analysis (RIA) is a tool regulators use to help guide them through the decision-making process when promulgating regulations. The goals of an RIA are simple and straightforward: to assess whether a problem exists that is systemic in nature and therefore requires intervention, to define the desired outcome sought through intervention, to describe the various alternatives that might address the problem and bring about the desired outcome, and to compare the benefits and costs of each alternative.
This comment addresses Environmental Protection Agency’s request for advice in “developing an ‘analytic blueprint’ of materials on the technical merits and challenges of using economy-wide models to evaluate the social costs, benefits, and economic impacts associated with EPA’s air regulations.” The agency plans to present these materials to a new Science Advisory Board (SAB) panel with “expertise in economy-wide modeling.”…
The high and rising cost of US medical care is partially attributable to legally enforced rigidities
in the health care system. By relaxing restrictions, the government can unlock competitive forces
that drive prices down and empower individuals to avoid unnecessary, expensive medical
services. A more open health care market would give providers incentives to innovate in ways
that not only improve the quality of care but also reduce the cost of offering it.
For decades, money market funds (MMFs) were thought to be safe, low-risk investments. The financial crisis of 2007–2009 cast MMFs in a new, less favorable light, which prompted calls for reform. Our paper offers a reform alternative that builds on MMF boards of directors and their well-established responsibility for making key decisions for MMFs. After a brief overview of the regulatory history of MMFs, we describe the responsibilities that boards have under current law, the problems MMFs encountered during the crisis, and market and government responses to these problems. Evidence shows that during the crisis, investors were discerning in deciding whether and when to run; more risky, less liquid funds experienced higher volumes of redemptions. This finding, along with our assessment of funds’ boards of directors’ responsibilities, helps to lay the groundwork for considering the various options for addressing problems still facing MMFs, including our proposal to allow boards to gate their funds when faced by potentially destabilizing redemption pressures.
Online virtual currencies are nothing new. They have existed for decades—from World of Warcraft Gold to Facebook Credits to e-gold. Neither are online payments systems new. PayPal, Visa, and Western Union Pay are all examples. So what is it about Bitcoin that makes it unique? Bitcoin is the world’s first completely decentralized digital currency. Its decentralized nature results in lower transactions costs, making it particularly attractive to small businesses. It could also be an attractive electronic payments option for consumers, including the unbanked and underbanked. Risks include volatility and security, but these are not problems inherent in Bitcoin’s design.