Econ 101: July 18, 2011

Welcome to ThinkProgress Economy’s morning link roundup. This is what we’re reading. Have you seen any interesting news? Let us know in the comments section. You can also follow ThinkProgress Economy on Twitter.

  • Leaders in both Congressional chambers “are looking to build support for the plan being crafted by Senate Majority Leader Harry M. Reid (D-NV) and Senate Minority Leader Mitch McConnell (R-KY)” that would raise the federal debt ceiling and cut $1.5 trillion in federal spending. [Washington Post]
  • According to a report from analysts at Goldman Sachs, “even if Congress passes a relatively small budget deal when they raise the debt limit, it will still be a promising indication to investors that the U.S. fiscal trajectory will improve over the coming decade.” [TPM]
  • “The main reason U.S. companies are reluctant to step up hiring is scant demand, rather than uncertainty over government policies,” according to a majority of economists polled in a new survey. [Wall Street Journal]
  • “U.S. regulators are barring certain law firms from assisting in ferreting out foreclosure abuses” because of their ties to the mortgage industry. [Wall Street Journal]
  • High-frequency traders try to fend off new regulations. [New York Times]
  • More Americans believe that wages will fall over the next six months than believe that they will rise, and “weak income expectations will continue to ‘hold back’ consumer spending.” [Bloomberg]
  • The credit ratings agency Moody’s today “suggested the United States should eliminate its statutory limit on government debt.” [Reuters]
  • As part of the debt ceiling debate, Congressional Democrats “have begun pointing out that President Ronald Reagan pushed to raise the debt ceiling nearly twenty times during his presidency.” [The Hill]
  • New details emerge regarding Education Secretary Duncan’s plan to issue states waivers from No Child Left Behind requirements. [Education Week]