An overheating economy, high policy uncertainty, and declining consumer confidence pose recession risks of 53 percent as of April 2025. This paper employs a weighted logit model to aid policymakers in early intervention. Key indicators include consumer expenditure, yield curve, disposable income, and economic policy uncertainty, enhancing prediction accuracy in recession modeling. Continue reading
Author Archives: Max Tingom
A Drop in Consumer Sentiment: Economic Consequences and Policy Impacts
Executive Summary Introduction The Council of Economic Advisers (CEA) provides research and analyses to the Executive branch to inform policy directives. CEA Chair Stepehen Miran appeared on CNBC on March 25th amid economic uncertainty, stating he does not believe there is a strong relationship between consumer sentiment and consumer spending. Consumer sentiment is tracked in detail by … Continue reading
Impact of Retail Electricity Deregulation on Consumer Prices: A Difference-in-Difference Approach
Executive Summary Introduction Electricity has become the most fundamental commodity in the United States. Its growing influence underpins nearly every major industry. It powers homes, infrastructure, and manufacturing. Innovation and technological development for the entire economy depends on efficient and reliable energy transmission. Utilities markets in the U.S. have historically been viewed as natural monopolies. … Continue reading
The Twin Deficit Hypothesis: An Analysis of the U.S.
Executive Summary Introduction Government deficits and the trade balance have seemed to fluctuate in tandem over time. This has given rise to theories connecting the two deficits to explain their relationship. U.S. fiscal deficits have ballooned in recent years, bringing renewed attention to the twin deficit hypothesis (TDH) and applying it to advanced economies. Modeling … Continue reading
The State of State Backed Insurance
Executive Summary Introduction The purpose of insurance is to mitigate the risks of a probable loss for consumers. Some consumers are inherently riskier to insure than others simply based off where they choose to live. This causes many property and casualty (P&C) insurers to demand higher rates or forego plans completely. In the instance a … Continue reading
Are the Elderly Hurt More by Inflation? A Glimpse Inside the Housing Market
Executive Summary Introduction The Consumer Price Index (CPI) is a measure of the change in prices in a typical consumers basket. The elderly tend to consume a different bundle of goods compared to the typical consumer. The Bureau of Labor Statistics (BLS) has introduced an experimental CPI, labeled CPI-E, to determine the relative importance of bundles for … Continue reading