The Morning Economic Report

Monday-Friday at 7:33 am

Anirban Basu, Chariman Chief Executive Officer of Sage Policy Group (SPG), is one of the Mid-Atlantic region's leading economic consultants.  Prior to founding SPG he was Chairman and CEO of Optimal Solutions Group, a company he co-founded and which continues to operate. Anirban has also served as Director of Applied Economics and Senior Economist for RESI, where he used his extensive knowledge of the Mid-Atlantic region to support numerous clients in their strategic decision-making processes.  Clients have included the Maryland Department of Transportation, St. Paul Companies, Baltimore Symphony Orchestra Players Committee and the Martin O'Malley mayoral campaign.

He is the author of numerous regional publications including the Mid-Atlantic Economic Quarterly and Outlook Maryland. Anirban completed his graduate work in mathematical economics at the University of Maryland.  He earned a Masters in Public Policy from Harvard University in 1992.  His Bachelors in Foreign Service is from Georgetown University and was earned in 1990.

Economists continue to pour through recently released income data from the U.S. Census Data.  As indicated by Bloomberg Business, these data make it clear that the richest Americans are winning the economic recovery.  If one looks at eight groups of household income selected by the Census, only those whose incomes were already high to begin with have experienced improvement since two thousand and six, the last full year of expansion prior to the recession. 

Americans are collectively getting wealthier.  Rising home values produced a modest increase in total American household wealth during the second quarter of twenty fifteen.  Total household wealth for the quarter ending in June stood at a bit less than eighty six trillion dollars. 

Despite the fact that the nation’s unemployment rate is down to five point one percent, three are many people who consider the U.S. economy to still be in terrible shape.  Undoubtedly, there are many reasons for this, but no explanation seems as powerful as those related to income dynamics. 

There was a time when Brazil was the toast of the global economy.  As indicated in a recent article authored by Simon Romero, Brazil was hailed as a model, with global leaders applauding the nation’s robust growth, its shrinking inequality and its thriving democracy.  The Brazilian economy expanded by seven point six percent in two thousand and ten, the fastest rate in more than two decades.  

Baltimore Orioles fans know that the team could use some free agents in preparation for next season, particularly one or two big name starting pitchers and a slugging outfielder or two.  But professional baseball is hardly the only segment associated with big name free agents.  Take economics as another example. 

Uber is an app.  One can press a button on his or her smartphone and within a few moments someone will happen by to take them where they want.  That’s because a lot of people are involved with Uber – more than one hundred and sixty thousand people in the United States depend on it for at least a portion of their livelihood. 

Most businesses understand the cost of everything that goes into what they sell – such knowledge is essential for setting prices.  But medical centers often only know what they are paid by insurers, but those payments don’t necessarily align with their actual costs.  For instance, how much does it cost to allow a patient one minute’s time in an MRI machine or to be in the operating room for an hour? 

Some of you are being driven to school right now.  You will soon encounter a teacher who you will look at you as a teacher.  But the person in front of you may also be a cutting edge entrepreneur. is a virtual marketplace where educators can buy and sell lesson plans.  Teachers often spend hours preparing classroom lesson plans to help impart the material students are required to learn. 

South Australia is often considered Australia’s rust belt.  It’s at least somewhat different from America’s rust belt in that sixty percent of it is desert.  As reported by Bloomberg, South Australia is also wrestling with the highest unemployment rate in the country and a steady outflow of people to other states. 

In July, U.S. construction spending climbed to its highest level in seven years, bolstered by an increase in residential construction, factories and power plants.  Total construction spending has risen thirteen point seven percent over the past twelve months.  As reported by the Associated Press, the surge in construction spending has induced some forecasters to alter their projections for economy-wide growth.