Editor’s note: CPA’s Chief Economist Jeff Ferry testified on Friday June 21st at the International Trade Commission in support of expanding Section 301 tariffs against China. This is CPA’s written testimony. On June 21st, at the US International Trade Commission headquarters, I testified on behalf of CPA in favor of maintaining Section 301 tariffs on…
By Jeff Ferry, Chief Economist President Trump’s decision over the weekend to allow US component and chip companies to sell to Chinese network builder Huawei was a questionable decision. We need independence from Huawei, not reliance on them as either a customer or network provider. Yet the president’s decision was an inevitable result of the…
By Jeff Ferry, CPA Chief Economist Last month, Sen. Marco Rubio (R-FL) published one of the most enlightening and surprising reports from a member of Congress in a long while. Entitled American Investment in the 21st Century, Rubio’s report took a fresh look at the problems ailing the US economy and concluded that there’s a shortage of…
By Jeff Ferry, CPA Chief Economist This morning the Bureau of Labor Statistics (BLS) published the May consumer price index, and once again inflation has undershot Wall Street expectations. Headline inflation came in at 1.8% for May 2019 (compared to May 2018). The core rate of inflation (i.e. removing volatile food and energy prices) was…
Jeff Ferry, Chief Economist Steven Byers Ph.D., Senior Economist June 2019 This Briefing Paper looks at the shortcomings of economic models of trade action, their causes, and modifications to improve the accuracy of these forecasting models. Executive Summary From the adoption of NAFTA in 1994, through the Trump administration’s 2018 tariffs, economic forecasts have consistently…
By Jeff Ferry and Steven L. Byers, PhD Economic modeling results from the Coalition for a Prosperous America (CPA) show that an across-the-board 25% tariff on all China imports would deliver a significant, sustained boost to the US economy, including the addition of $125 billion to GDP in 2024 and the creation of 721,000 additional jobs. CPA…
This Working Paper presents the results of a CPA econometric model testing how much dollar adjustment is needed to balance US trade in six years and the dramatic economic benefits that would result from the adjustment. This Working Paper presents the results of a CPA econometric model testing how much dollar adjustment is needed to…
By Jeff Ferry, CPA Research Director Last week, Canadian authorities arrested the Chief Financial Officer of Huawei, Sabrina Meng Wanzhou. The US government alleges that she was involved in a plot to circumvent US sanctions on Iran by using a dummy company, secretly owned by Huawei, to sell networking equipment to Iran. Some of the…
It’s now eight months after the first set of Trump administration tariffs went into effect, and so far the much-feared economic costs of tariffs have yet to appear. In most cases, consumers have not seen any increases in the pricesof goods containing tariffed products because the costs have been absorbed by producers in the supply…
By Jeff Ferry, CPA Research Director Three Internet security experts have accused state-owned telecom giant China Telecom of diverting internal US Internet traffic through China. The purpose, apparently, was corporate espionage. According to Doug Madory, an expert on Internet traffic at Silicon Valley software maker Oracle, China Telecom’s network sent out false signals that diverted…
