The European Central Bank (ECB) has finally put its money where its mouth had been: into a more aggressive expansion of liquidity. With an immediate plan to purchase private securities on the open market, the central bank will tread where no other continental institution dared to step.
Economic growth remains feeble across the European Union (EU). Data on gross domestic product for the second quarter indicate the Eurozone has not expanded at all while the wider EU grew just 0.2% on the previous quarter.
We recently released our quarterly economic forecast. We see steady growth but it is unlikely there will be a surge in the second half of this year. Right now the economy is somewhat constrained by credit availability and risk aversion. Consumers are driving growth but can’t go much faster.
Finance, Tax, U.S. Tax, Federal Tax Rules & Regulations, U.S. Tax Policy, Global Economy, Competitiveness, Government Policy, Money & Finance, Government Finance
Patriotism has little to do with an inversion, a process whereby a company moves its headquarters to another country, but in a midterm election year, it is easier for politicians to cast corporations as deserters than address root causes -- namely, the convoluted tax code.