Here is another reason why obstructionist Tea Party Republicans ought to put legal immigration reform up for a vote. Now that Rep. Eric Cantor is out of the way, the Nation will be able to indicate whether or not newly appointed House Leader Kevin McCarthy will help solve tough issues in a bipartisan way.
From Daily Ticker:
In her quarterly news conference following the Federal Open Market Committee's policy announcement, Federal Reserve Chair Janet Yellen said the economy is rebounding from the slump in the first-quarter and projected further, quicker declines in the unemployment rate.
But Yellen's long-term projections for the economy were not quite as upbeat. The Fed lowered its long-term growth outlook for the U.S. economy to 2.1%, another downward revision. Fed officials also lowered the outlook for long-term interest rate targets to 3.75%, below the typical rate of 4%.
Aging demographics in the U.S., low productivity growth and weak investments could all slow long-term growth, according to Garcia. He acknowledges that it’s difficult to get out of a long-term slump, but the International Monetary Fund has some suggestions that the U.S. would be wise to take. “I think infrastructure spending would be great," he says. "The nation’s infrastructure has been crumbling for quite a bit and if you do something about it now you get a lot of benefits. One is that you put some people to work, so it’s a demand-side idea, but it also raises the longer-term potential growth rate of the economy itself.”
Another way to stave of stagnation would be liberalizing immigration policy, according to Garcia. “Look, it’s not time to panic yet,” concludes Garcia. “In the short-term, people will pretty soon be able to participate in a more vigorous economy and in the long-term you never know about these things.” Watch video here >>>