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    • Higher Taxes = Deficit Reduction? Maybe in a Static Economy

    September 21, 2010 at 3:30 pm

    6 Comments

    A Washington Post article today reports that letting the Bush tax cuts expire would nearly close the fiscal gap. This static logic misses two key dynamic aspects of the economy: (1) the political incentives that higher taxes bring about, and (2) the economic incentives of such policy. 1. Political Incentives. … More

    Is the U.S. Still the Land of Opportunity?

    September 20, 2010 at 11:08 am

    4 Comments

    The Global Entrepreneurship and Development Index (GEDI) report by researchers at the Small Business Administration shows that the U.S. may be slipping in its ability to sustain productive entrepreneurship relative to other countries. Entrepreneurship plays a critical role in the formation of any economy; it is the critical agent in … More

    The House Health Fix: Even Higher Job Killing Investment Taxes

    March 18, 2010 at 8:33 pm

    21 Comments

    It takes investment to get sustainable economic growth. We can’t spend our way to growth. We have to save some of the stuff we make today and use it to create new, higher value, tomorrow. If we produce and consume it all, then our economy lives “hand-to-mouth” and we do … More

    Economic Impact of Stimulus Spending: A Response to Menzie Chinn

    February 10, 2010 at 4:25 pm

    7 Comments

    At Econbrowser, Dr. Menzie Chinn provides a succinct summary of my critique of CEA’s “Economic Impact of the Stimulus” report when he writes, “…these implied increments to growth rates do not jibe with the inferences drawn by Dr. Campbell — that the impact on GDP is much smaller than CEA … More

    Elegant Simplicity: Achieving Many Goals with one Policy

    June 8, 2009 at 12:01 pm

    2 Comments

    Question: How do we create jobs, increase economic growth, rebuild the nest egg of households, strengthen the competitiveness of the U.S. economy and increase tax revenues? A. Borrow trillions of dollars and hire workers and specify that these workers must be from the United States. B. Create a new industry … More

    The Mortgage Financing Game

    October 21, 2008 at 4:49 pm

    5 Comments

    Congress is lining up the list of suspects to assign blame for the financial crisis. However, all of the obvious suspects — the Fed, Fannie and Freddie, mortgage companies, banks and borrowers — have been players in the mortgage market game for years. Why is there a crisis now? Perhaps … More

    Is the High Price of Oil a Conspiracy?

    July 11, 2008 at 3:47 pm

    9 Comments

    Why is the price of oil a difficult concept for some on the left? They want to come up with some grand conspiracy theory and rush to command-and-control legislation claiming that Americans have a “right to lower gas prices.” This is at best silly but at worst dangerous. This mentality … More

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    Karen Campbell

    Karen Campbell

    Karen Campbell is a policy analyst in macroeconomics at The Heritage Foundation's Center for Data Analysis. In this position, Campbell will be designing and maintaining the center's several computer models of the U.S. economy.
    The Morning Bell
    Morning Bell: What Did Apple Do Wrong?

    Members of Congress called Apple executives to testify on Capitol Hill yesterday. Why? Because the company makes money overseas, and some Senators want to get their hands on the cash. A Senate subcommittee accused the company of “shifting” profits from the U.S. to other countries and avoiding paying taxes. But … More

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