April 8, 2025
Could A Higher Endowment Tax Pressure Elite Schools To Expand?
Congressional Republicans are considering a significant hike in the excise tax on the endowments of rich universities as part of a broader tax reform effort. Most private universities with more than $500,000 in endowment assets per student are subject to a 1.4 percent excise tax on their net investment income. Some Republicans have proposed raising that tax rate to…
April 4, 2025
President Trump’s Tariff Formula Makes No Economic Sense. It’s Also Based on an Error.
President Trump on Wednesday announced tariffs on practically every foreign country (and some non-countries), ranging from a 10 percent minimum all the way up to 50 percent. The economic fallout has been dramatic, with the stock market losing nine percent of its value (based on the S&P 500 index at the time of writing) and…
March 31, 2025
Reimagining Federal Education R&D: DARPA for Education
Earlier in my professional life, I was the head of the political science department at Stony Brook University. When the chairs of the arts and science met, someone from the physical or life sciences would inevitably argue that the “hard” natural sciences deserved more support than the “soft” social sciences. My rejoinder was one of…
March 25, 2025
AI Talent: It’s Not Just for High Tech Anymore
We appear to be approaching the break-out phase of artificial intelligence’s diffusion across the American economy. As reported in the Wall Street Journal, recent data from the University of Maryland’s AI job tracker finds that nearly 25 percent of tech job postings earlier this year mentioned AI skills. And it isn’t just the tech sector that’s hiring—finance, professional…
March 25, 2025
Less Than Half of Student Borrowers Are Paying Their Loans
Student loan payments have been due for six months now—yet no one seems to have told the students. The federal government effectively suspended payments on student loans for four and a half years due to the Covid-19 pandemic, leading many borrowers to lose touch with their loan servicers and disengage from the repayment system. False promises of loan cancellation…
March 25, 2025
Reimagining Federal Education R&D: IES, Workforce Skills, and State Leadership
The Institute of Education Sciences (IES) has taken a hit from DOGE, losing about 90 percent of its workforce. Regardless of the future of the Education Department, we need to continue to improve education R&D and identify what in IES should be preserved, or indeed expanded, to meet the nation’s needs today and in the…
March 13, 2025
Two Charts Show Why a Trade War Over Fentanyl Doesn’t Make Sense
Following a month-long pause, President Trump last week reimposed tariffs on Canada and Mexico, only to pause many of them again two days later. Different reasons have been offered by the Trump Administration for the tariffs, but in recent days the President’s advisers have honed in on one reason in particular: Fentanyl is being shipped across our borders with…
March 13, 2025
The Return To Student Loan Repayment, In Four Charts
In March 2020, the federal government enacted a “temporary” pause on student loan repayment, which the Trump and Biden administrations extended a grand total of eight times. But as of October 2024, loan repayment has officially resumed—meaning borrowers who miss payments will face consequences such as negative credit reports. As of September 2024—the latest month…
March 3, 2025
Up in the Air
For whom is the bell tolling? When it comes to the leading-edge impacts of artificial intelligence (AI) on the workforce the answer appears to be well-paid, middle managers at some of the nation’s leading high-tech firms. As the Financial Times reported late last week, Amazon has announced the elimination of nearly 14,000 jobs concentrated in the ranks…
February 28, 2025
Less Than Half of Medicaid Recipients Work Enough to Comply With a Work Requirement
Congress is considering implementing work requirements for Medicaid. This reform could help Congress achieve its goal of reducing federal expenditures and simultaneously strengthen the incentive for Medicaid recipients to work. At the same time, individuals who do not comply with the work requirement may lose health insurance coverage. Underlying the policy debate is the extent…