Money and Computing
Pharmacy Gag Rule: There Might Be a Cheaper Drug, But Pharmacists Can’t Tell You That
Lawmakers from at least 30 states considered bills on pharmacy benefits managers this year. New laws have been enacted in more than a dozen states, with more awaiting governors’ signatures. Legislators were motivated to act on the issue “because it affects the ordinary consumer,” said Richard Cauchi, the health program director for the National Conference of State Legislatures... The gag clauses are inserted into contracts with pharmacies by pharmacy benefit management companies, and they prohibit druggists from telling patients or caregivers about lower prices or cheaper drug options, such as generic drugs. more »
Fed Reserve Governor Lael Brainard: Growing above Trend, Sustaining Full Employment and Inflation around Target
Although indicators of economic activity were on the soft side earlier in the year, the outlook for the remainder of 2018 remains quite positive, supported by sizable fiscal stimulus as well as still-accommodative financial conditions. In the latest report, real gross domestic product (GDP) increased 2.2 percent at an annual rate in the first quarter of 2018, a slowdown from the 3 percent pace in the final three quarters of 2017. While the unemployment rate is now lower than before the financial crisis, the employment-to-population ratio for prime-age workers remains about 1 percentage point below its pre-crisis level. It is an open question what portion of the prime-age Americans who are out of the labor force may prove responsive to tight labor market conditions. more »
The Growing Outdoor Recreation Economy: Conservation of Public Lands Helps Small Businesses Thrive
A key element of the growing outdoor recreation economy — which accounts for $887 billion in annual consumer spending and supports 7.6 million jobs, according to the Outdoor Industry Association — are small businesses, especially those that operate in the gateway communities around public lands. Sure, online shopping is convenient, but it’s to a local business that most visitors turn when they need a replacement tent or last-minute supplies before heading out to camp, fish, hunt, or find solace in the outdoors. more »
What Are Common Misunderstandings About Net Neutrality?
The change is from regulating internet providers as “public utilities” to regulating them as most other businesses in the economy. We have had a long experience with public utility regulations where companies and municipalities have provided telephone, electricity and water services across the country. Tight regulation is great for such services that do not experience a lot of change – when was the last innovation in municipal water delivery, for example? With a rapidly changing product such as internet access, it is much tougher to have regulations that benefit consumers both in terms of price and innovation. more »