United States Economy

Democrats Face Deepening Peril as Republicans Seize on Inflation Fears

WASHINGTON — Triple-digit gasoline bills. Bulging hamburger prices. A Fourth of July holiday that broke the bank. Prices are rising at the fastest rate in four decades, a painful development that has given Republicans a powerful talking point just months ahead of the midterm elections. With control of Congress very much in play, Republicans are […]

Euro Hits Parity With U.S. Dollar for First Time in 20 Years

Take a look: €1 = $1. With a war on the eurozone’s border, an uncertain energy supply from Russia and a growing risk of recession, the pressures bearing down on the euro finally grew so strong that on Wednesday it dipped to parity with the U.S. dollar — a one-to-one exchange rate. It’s a sight […]

Is ‘Greedflation’ Rewriting Economics, or Do Old Rules Still Apply?

When all prices are rising, consumers lose track of how much is reasonable to pay. “In the inflationary environment, everybody knows that prices are increasing,” said Z. John Zhang, a professor of marketing at the Wharton School at the University of Pennsylvania who has studied pricing strategy. “Obviously that’s a great opportunity for every firm […]

Why Isn’t New Technology Making Us More Productive?

The goal is not to replace workers but to lift their performance, said Zayd Enam, the company’s co-founder and chief executive. Cresta’s offering, he said, is made possible by recent advances in the power and speed of A.I. software, which he described as “game changing.” Cresta has 200 employees, has raised more than $150 million […]

The Fed Wants to Fight Inflation Without a Recession. Is It Too Late?

The Federal Reserve is poised to set out a path to rapidly withdraw support from the economy at its meeting on Wednesday — and while it hopes it can contain inflation without causing a recession, that is far from guaranteed. Whether the central bank can gently land the economy is likely to serve as a […]

The Fed Bets on a ‘Soft Landing,’ but Recession Risk Looms

Jerome H. Powell, the Federal Reserve chair, emphasized this week that the central bank he leads could succeed in its quest to tame rapid inflation without causing unemployment to rise or setting off a recession. But he also acknowledged that such a benign outcome is not certain. “The historical record provides some grounds for optimism,” […]

As Fed Prepars to Raise Rates, Global Economy Sinks Deeper Into Turmoil

Jason Furman, an economist at Harvard University, said many forecasters had been doing what investors sometimes refer to as “pricing to perfection”: assuming that everything is going to go well, even if that is not the most likely outcome. “You can look at the individual items: There’s been a lot of, what if inflation in […]

Black Farmers Fear Foreclosure as Debt Relief Remains Frozen

The legal limbo has created new and unexpected financial strains for Black farmers, many of whom have been unable to make investments in their businesses given ongoing uncertainty about their debt loads. It also poses a political problem for Mr. Biden, who was propelled to power by Black voters and now must make good on […]

Pandemic’s Economic Impact Is Easing, but Aftershocks May Linger

The pandemic’s grip on the economy appears to be loosening. Job growth and retail spending were strong in January, even as coronavirus cases hit a record. New York, Massachusetts and other states have begun to lift indoor mask mandates. California on Thursday unveiled a public health approach that will treat the coronavirus as a manageable […]