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The use of biomass as an energy feedstock is emerging as a potentially viable alternative to address U.S. energy security concerns, foreign oil dependence, rural economic development, and diminishing sources of conventional energy. Biomass (organic matter that can be converted into energy) may include food crops, crops for energy (e.g., switchgrass or prairie perennials), crop residues, wood waste and byproducts, and animal manure. Most legislation involving biomass has focused on encouraging the production of liquid fuels from corn. Efforts to promote the use of biomass for power generation have focused on wood, wood residues, and milling waste. Comparatively less emphasis has been placed on the use of non-corn based biomass feedstocks- other food crops, non-food crops, crop residues, animal manure, and more-as renewable energy sources for liquid fuel use or for power generation. This is partly due to the variety, lack of availability, and dispersed location of non-corn based biomass feedstock. The technology development status and costs to convert non-corn based biomass into energy are also viewed by some as an obstacle to rapid technology deployment. For over 30 years, the term biomass has been a part of legislation enacted by Congress for various programs, indicating some interest by the general public and policymakers in expanding its use. To aid understanding of why U.S. consumers, utility groups, refinery managers, and others have not fully adopted biomass as an energy resource, this report investigates the characterization of biomass in legislation. The definition of biomass has evolved over time, most notably since 2004. The report lists biomass definitions enacted by Congress in legislation and the tax code since 2004 and definitions contained in pending legislation (the American Clean Energy and Security Act of 2009, H.R. 2454; the American Clean Energy Leadership Act of 2009, S. 1462; the Clean Energy Jobs and American Power Act, S. 1733; and the discussion draft of the American Power Act). Comments on the similarities and differences among the definitions are provided. One point of contention regarding the definition is the inclusion of biomass from federal lands. Some argue that removal of biomass from these lands may lead to ecological harm. Others contend that biomass from federal lands can aid the production of renewable energy to meet certain mandates (e.g., the Renewable Fuel Standard) and can enhance forest protection from wildfires. Factors that may prevent a private landowner from rapidly entering the biomass feedstock market are also included in the report. [ABSTRACT FROM AUTHOR]

Afghanistan's political transition is proceeding, but insurgent threats to Afghanistan's government have been increasing. Successful presidential elections were held on October 9, 2004, and economic reconstruction is proceeding. However, the insurgency led by remnants of the former Taliban regime has become more active in mid-2005, narcotics trafficking is rampant, and independent militias remain throughout the country. The report of the 9/11 Commission recommended a longterm commitment to stabilize Afghanistan. Legislation passed in December 2004 to implement those recommendations (P.L. 108-458) contains several provisions on Afghanistan. Since the defeat of the Taliban, Afghanistan no longer serves as a safe base of operations for Al Qaeda. Afghan citizens are enjoying new personal freedoms that were forbidden under the Taliban, and women are participating in economic and political life, a point highlighted during First Lady Laura Bush's visit to Afghanistan on March 29, 2005. Political reconstruction is following the route laid out by major Afghan factions and the international community in late 2001. A loya jirga (traditional Afghan assembly) adopted a new constitution on January 4, 2004. Presidential and parliamentary elections were to be held by June 2004, but security concerns and factional infighting caused the presidential elections to be postponed until October 9, 2004. Parliamentary and provincial elections are now set for September 18, 2005, with district elections put off until 2006. The presidential elections were held amid high turnout and minimal violence; interim president Karzai was declared first-round winner on November 3, 2004. U.S. stabilization measures focus on strengthening the central government and its security forces. The United States and other countries are building an Afghan National Army; deploying a multinational International Security Assistance Force (ISAF) to patrol Kabul and other cities; running regional enclaves to secure reconstruction (Provincial Reconstruction Teams, PRTs); and disarming militia fighters. Approximately 18,000 U.S. troops remain in Afghanistan to combat the Taliban-led insurgency. To build security institutions and assist reconstruction, the United States gave Afghanistan a total of almost $1.8 billion for FY2004, mostly through a supplemental appropriations (P.L. 108-106). An FY2005 supplemental appropriates about $3.35 billion, including funds for Afghan security forces, and another $920 million is requested for the regular FY2006 aid appropriation. This paper will be updated as warranted by major developments. See also CRS Report RS21922, Afghanistan: Presidential and Parliamentary Elections; CRS Report RL32686, Afghanistan: Narcotics and U.S. Policy; and CRS Report RL32783, FY2005 Supplemental Appropriations for Iraq and Afghanistan, Tsunami Relief, and Other Activities. [ABSTRACT FROM AUTHOR]

A centerpiece of the President's economic growth package is a provision to eliminate the "double tax" on corporate earnings, a measure largely aimed at dividend tax relief. The plan would create excludable dividend amounts (EDAs), whose purpose would be to identify income that has been subject to the corporate income tax and allow only that income to be eligible for dividend relief or capital gains basis adjustment at the individual income tax level. The Joint Committee on Taxation estimates that the plan would cost $396 billion over fiscal years 2003 to 2013. The design of the President's dividend relief proposal would produce some side effects. It could significantly reduce the value of existing corporate tax subsidies. As a result, it is likely that there will be a decrease in corporate investment in some subsidized areas. The largest corporate subsidies include accelerated depreciation, export subsidies, exclusion of interest on public purpose state/local bonds, and research and development expenditures. Activities that rely heavily on corporate tax preferences could be negatively affected. One area that has received attention is low income housing, which relies heavily on the low income housing credit. Preference restrictions could also undermine the temporary investment stimulus enacted in 2002. The mechanics causing these reductions in value are relatively straightforward. Under current law, the actual tax savings from a corporate tax subsidy are passed through and taxed at the individual level, whether as dividends or capital gains income. Under the President's proposal, the corporate income that generated the tax subsidy would be passed through and taxed at the individual level. The rationale for restricting corporate tax preferences in the proposal is not stated. The efficiency argument that economists use to justify corporate tax integration is not necessarily consistent with reducing corporate tax benefits. It is possible that the treatment of corporate preferences was adopted to minimize revenue loss; such a rationale was used in a 1992 Treasury study of integration. The reduction in the value of corporate subsidies depends on the value of preferences relative to the corporation's income, the corporation's dividend distribution policy, and the tax rate of the shareholder. In some circumstances the reduction in the value of the subsidies could be substantial. Dividend tax relief could be designed so as to pass through the benefits of any or all corporate tax preferences. If revenue is an issue, one approach could be to allow partial exclusions for both dividends and capital gains income which would eliminate the need to calculate excludable dividend amounts. This paper provides an economic analysis of the proposal to establish excludable dividend amounts. It does not track legislative developments and will not be updated. [ABSTRACT FROM AUTHOR]

The article offers information on various challenges that affect efforts to determine the relationship between economic growth and inequality in the U.S. Challenges include the direction of causation, data quality and consistency, and removed variable bias. Also mentioned are the lack of variation in the data and the assumption that the growth-inequality relationship is stable throughout countries.

The article discusses the U.S. Congressional Research Service Report for Congress, "U.S. Foreign-Trade Zones: Background and Issues for Congress," with focus on background on free trade zones. Free trade zones worldwide differ in size, economic development purposes, physical characteristics and government incentives. Their growth has resulted from a blend of factors including an initial conceptual design and major technological advancements.

The article discusses the dominant views about the relationship between the financial system and economic growth. It cites examples of the research about such relationship which may represent the start of a revaluation of the role of finance in the economy. The size of the financial industry, financial sector employment, and income inequality are discussed.

The Small Business Administration (SBA) administers several programs to support small businesses, including loan guaranty programs, disaster loan programs, management and technical assistance training programs, and federal contracting programs. Congress has always been interested in these programs, primarily because they are viewed as a means to stimulate economic activity and create jobs. That interest has become acute in recent months due to the adverse economic impact of the Coronavirus Disease 2019 (COVID-19) pandemic on the national economy, particularly on small businesses. For example, legislation has been enacted that has dramatically expanded the SBA's authority to provide loans to small businesses adversely affected by COVID-19. This report examines the economic research on net job creation to identify the types of businesses that appear to create the most jobs. That research indicates that small businesses tend to create more jobs than large businesses during economic expansions and lose more jobs during and immediately following recessions. The SBA has reported that preliminary economic data indicate small businesses have been disproportionally affected by the COVID-19 pandemic. Economic research also suggests that business startups play an important role in job creation, but have a more limited effect on net job creation over time because fewer than half of all startups are still in business after five years. However, the influence of small business startups on net job creation varies by firm size. Startups with fewer than 20 employees tend to have a negligible effect on net job creation over time whereas startups with 20-499 employees tend to have a positive employment effect, as do surviving younger businesses of all sizes (in operation for one year to five years). This report examines the possible implications this research might have for Congress and the SBA. For example, although the current focus is on job retention and assisting as many small businesses as possible to survive the current economic downturn, this report examines the potential consequences of targeting SBA non-COVID-19-related lending assistance to small businesses that are the most likely to create and retain the most jobs. In addition, the Government Accountability Office (GAO) has recommended that the SBA use outcome-based program performance measures, such as how well the small businesses do after receiving SBA assistance, rather than focusing on output-based program performance measures, such as the number of loans approved and funded. GAO has argued that using outcome-based program performance measures would better enable the SBA to determine the impact of its programs on participating small businesses. Given congressional interest in job creation, this report examines the potential consequences of adding net job creation as an outcome-based SBA program performance measure. This report also examines the arguments for providing federal assistance to small businesses, noting that policymakers often view job creation as a justification for such assistance whereas economists argue that over the long term federal assistance to small businesses is likely to reallocate jobs within the economy, not increase them. Nonetheless, most economists support federal assistance to small businesses for other purposes, such as a means to correct a perceived market failure related to the disadvantages small businesses experience when attempting to access capital and credit. [ABSTRACT FROM AUTHOR]

The economic outlook is of considerable importance to policymakers. Any information that might prove helpful in forecasting the economy is thus of interest. Two economic indicators that get a lot of attention, because of their presumed value as leading indicators of economic conditions, attempt to measure the relative optimism of consumers about current economic conditions and prospects. One of these indicators is the index of consumer sentiment published by the University of Michigan Survey Research Center, and the other is the consumer confidence index published by the Conference Board. Both indexes are based on data collected in a monthly survey. The Michigan survey contacts 500 households by telephone. The Conference Board contacts 5,000 households by mail, of which about 3,500 typically respond. In both surveys five questions are asked, two of which have to do with current economic conditions and three of which have to do with expectations for the economic outlook. Each of the survey questions is multiple choice. While, intuitively, it makes sense that consumer attitudes would affect spending decisions, there remains uncertainty regarding the theoretical connection between the attitude indexes and spending. That makes it difficult to interpret individual observations, and short-run variations in the indexes. These indicators are not, apparently, insignificant. On their own and in concert with other economic variables they have been shown to contribute to forecasts of future consumer spending and hence of overall economic growth. But their contribution may be somewhat more modest than the attention they get would suggest. This report explains how these two indexes measuring consumer attitudes are calculated, the theoretical connection between consumer attitudes and economic growth, and examines their significance as indicators of the economic outlook. This report will be updated as economic developments warrant. [ABSTRACT FROM AUTHOR]

The report presents the current status of the trust funds, projections for the factors in real economic growth, and how projections for these growth factors are estimated to affect the program's financial status of the Old-Age, Survivors, and Disability Insurance (OASDI) program. Topics include projected growth in total employment, and change in real Gross Domestic Product (GDP).

The article offers information on the U.S.trade deficit and the impact of changing oil prices. Topics discussed include decrease in share of petroleum products in the overall U.S. trade deficit; the demand for the supply of energy-related products; and slowdown in the rate of economic growth in China and India. Also mentions about the U.S. imports of energy-related petroleum products such as crude oil.

The article focuses on the Small Business Administration (SBA) and the net job creation in the U.S. Topics include the role of SBA in supporting small businesses through financial programs, the impact of SBA to the economy and job creation in the country, and how business startups boost job creation and their limited effect on net job creation.

The article presents a U.S. Congressional Research Service report which examines arguments both for and against the continuation of the Historically Underutilized Business Zone Empowerment Contracting (HUBZone) program. Topics discussed include the HUBZone program's structure and operation, analysis of the Small Business Administration's (SBA's) administration of the program, and HUBZone-related legislation.

The article reports that the Historically Underutilized Business Zone Empowerment Contracting (HUBZone) program gives participating small businesses located in areas with low income, high poverty, or high unemployment. Its objectives are job creation and increased capital investment in distressed communities.

A striking feature of the modern U.S. economy is its growing openness--its increased integration with the rest of the world. The attention of tax policymakers has recently been focused on the growing participation of U.S. firms in the international economy and the increased pressure that engagement places on the U.S. system for taxing overseas business. Is the current U.S. system for taxing U.S. international business the appropriate one for the modern era of globalized business operations, or should its basic structure be reformed?. The current U.S. system for taxing international business is a hybrid. In part, the system is based on a residence principle, applying U.S. taxes on a worldwide basis to U.S. firms while granting foreign tax credits to alleviate double taxation. The system, however, also permits U.S. firms to defer foreign-source income indefinitely--a feature that approaches a territorial tax jurisdiction. In keeping with its mixed structure, the system produces a patchwork of economic effects that depend on the location of foreign investment and the circumstances of the firm. Broadly, the system poses a tax incentive to invest in countries with low tax rates of their own and a disincentive to invest in high-tax countries. In theory, U.S. investment should be skewed toward low-tax countries and away from high-tax locations. Evaluations of the current tax system vary, and so do prescriptions for reform. According to traditional economic analysis, world economic welfare is maximized by a system that applies the same tax burden to prospective (marginal) foreign and domestic investment so that taxes do not distort investment decisions. Such a system possesses capital export neutrality, and could be accomplished by worldwide taxation applied to all foreign operations along with an unlimited foreign tax credit. In contrast, a system that maximizes national welfare--a system possessing national neutrality--would impose a higher tax burden on foreign investment, thus permitting an overall disincentive for foreign investment. Such a system would impose worldwide taxation but would permit only a deduction, and not a credit, for foreign taxes. A tax system based on territorial taxation would exempt overseas business investment from U.S. tax. In recent years, several proponents of territorial taxation have argued that changes in the world economy have rendered traditional prescriptions for international taxation obsolete and instead prescribe territorial taxation as a means of maximizing both world and national economic welfare. For such a system to be neutral, however, capital would have to be completely immobile across locations. A case might be made that such a system is less distorting than the current hybrid system, but it is not clear that it is more likely to achieve policy goals than other reforms, including not only a movement toward worldwide taxation by ending deferral but also proposals to provide a minimum tax and restrict deductions for costs associated with deferred income or restrict deferral and foreign tax credits for tax havens. A House tax proposal, called the "Better Way" tax plan, would not only move to a territorial tax but convert the income tax into a consumption tax. In this case, equity capital would likely be attracted to the United States from foreign countries because of the elimination, in most respects, of a tax on capital income of firms in the United States. [ABSTRACT FROM AUTHOR]

The article estimates the economic growth effects of the Better Way Tax Reform Task Force Blueprint that was released by U.S. House Speaker Paul Ryan on June 24, 2016. Topics discussed include the models used by the Urban-Brookings Tax Policy Center, the estimated increase in output, and the supply side effects and the crowding out effects of increased deficits.

The U.S. Small Business Administration (SBA) administers several programs to support small businesses, including loan guaranty and venture capital programs to enhance small business access to capital; contracting programs to increase small business opportunities in federal contracting; direct loan programs for businesses, homeowners, and renters to assist their recovery from natural disasters; and small business management and technical assistance training programs to assist business formation and expansion. Congressional interest in these programs has increased in recent years, primarily because assisting small business is viewed as a means to enhance economic growth. Some, including President Obama, have argued that the SBA should be provided additional resources to assist small businesses in acquiring capital necessary to start, continue, or expand operations and create jobs. Others worry about the long-term adverse economic effects of spending programs that increase the federal deficit. They advocate business tax reduction, reform of financial credit market regulation, and federal fiscal restraint as the best means to assist small business economic growth and job creation. During the 111th Congress ? P.L. 111-5, the American Recovery and Reinvestment Act of 2009 (ARRA), provided the SBA an additional $730 million, including $375 million to temporarily subsidize SBA fees and increase the 7(a) loan guaranty program's maximum loan guaranty percentage to 90%; P.L. 111-240, the Small Business Jobs Act of 2010, authorized $30 billion for the Small Business Lending Fund to encourage community banks to provide small business loans ($4 billion was issued); $1.5 billion for the State Small Business Credit Initiative to provide funding to participating states with small business capital access programs, numerous changes to the SBA's loan guaranty and contracting programs, and $510 million to continue the SBA's fee subsidies and 90% maximum loan guaranty percentage through December 31, 2010; and about $12 billion in tax relief for small businesses; and ? P.L. 111-322, the Continuing Appropriations and Surface Transportation Extensions Act, 2011, authorized the SBA to continue its fee subsidies and the 7(a) program's 90% maximum loan guaranty percentage through March 4, 2011, or until available funding was exhausted, which occurred on January 3, 2011. During the 112th Congress, several bills were introduced to enhance small business access to capital through the SBA, including bills to extend the SBA's temporary fee subsidies and the 90% maximum loan guaranty percentage. Congress did not adopt these legislative efforts. Instead, Congress passed legislation to enhance small business contracting opportunities, expand access to the SBA's surety bond guarantee program, amend the SBA's size standard practices, require a review and reassessment of the federal procurement small business goaling program, and expand small business mentor-protégé programs. Congress also adopted the Jumpstart Our Business Startups Act (P.L. 112-106) that established a regulatory structure for startups and small businesses to raise capital through securities offerings using the Internet through crowdfunding. During the 113th Congress, P.L. 113-76, the Consolidated Appropriations Act, 2014, increased the annual authorization amount for the SBA's Small Business Investment Company venture capital program to $4 billion from $3 billion. The increased authorization amount is designed to provide small businesses additional access to venture capital. During the 114th Congress, P.L. 114-38, the Veterans Entrepreneurship Act of 2015, made permanent the Obama Administration's waiver of the up-front, one-time loan guaranty fee for veteran loans under the SBAExpress loan guaranty program and increased the 7(a) loan guaranty program's FY2015 authorization limit to $23.5 billion from $18.75 billion. This report addresses a core issue facing the 114th Congress: What, if any, additional action should the federal government take to enhance small business access to capital? It discusses the role of small business in job creation and retention, then provides an assessment of the supply and demand for small business loans and recently enacted laws designed to enhance small business access to capital by increasing either the supply of small business loans or the demand for small business loans, or both. It also examines recent actions concerning the SBA's budget and concludes with a brief overview of three legislative options available to address small business access to capital issues during the 114th Congress: wait-and-see, enact additional programs, or reduce and consolidate existing programs. [ABSTRACT FROM AUTHOR]

The article discusses the Congressional Research Service's report titled "Critical Infrastructures: Background, Policy, and Implementation." Topics covered include details relating to the Federal Critical Infrastructure Protection Policy, the establishment of the President's Commission on Critical Infrastructure Protection (PCCIP) in July 1996, and the implementation of the Presidential Decision Directive No. 63 in the U.S.

The article focuses on the data of Census Bureau of the U.S. Department of Commerce related to petroleum prices in U.S. It includes information on petroleum prices during economic recession in 2009. It also discusses the impact of natural disasters, economic growth in Asia and Europe, and oil exports of Iran on the oil prices in U.S.

The article discusses information on U.S. trade policies, concepts, and performance. Topics explored include the significant role of the Congress in the implementation of trade policies, the contribution of trade activities to U.S. economic growth, and brief details about U.S. economic indicators such as current account balance, national savings, and gross domestic product (GDP).

The article discusses the role of the U.S. Small Business Administration (SBA) in job creation. It states that the aim of SBA was to support small businesses and provide credit to small businesses to allow them to provide additional employment. It mentions that the SBA argued that improving the access of small businesses to credit is an important step in supporting economic recovery and job creation.

The article discusses the U.S. trade deficit in 2013, when it is experiencing a new set of challenges with the second phase of slow growth expected to reign in European and Asian economies. A discussion on the concept of merchandise trade deficit is presented, as well as the balance of payments and its three main sections. Several tables related to the U.S. balance of payments are presented, which includes the selected accounts of international transactions.

The article discusses the major trade issues between the U.S. and China in December 2013, particularly with U.S. and Chinese economies becoming increasingly integrated due to the economic reforms and economic growth of China, and effects of globalization. The challenges faced by U.S. stakeholders in China include their network of industrial policies seeking the promotion and protection of domestic sectors and firms, and failure in provision of U.S. intellectual property rights (IPR) protection.

The article focuses on the report "African Growth and Opportunity Act(AGOA): Background and Reauthorization" released by the U.S. Congressional Research Service, a public policy research arm of the U.S. Congress, as of August 2, 2013. Topics discussed include the passage of the AGOA by the U.S. Congress to increase economic development in sub- Saharan Africa, U.S. imports under AGOA and the gross domestic product growth under the trade program Generalized System of Preferences (GSP).

The article presents a summary of the U.S. Congressional Research Service's research paper on the top tax rates in the U.S. since 1945. According to the author, advocates of lower tax rates believe that lower rates would increase economic growth, increase saving and investment, and improve productivity. The author concludes that the top tax rate reductions appear to be associated with the increasing concentration of income at the top of the income distribution.

The article discusses the economic developments in the U.S., particularly on the area of customs and border protection. It cites the importance of international trade in the economic security of the country. It claims that the Department of Homeland Security (DHS) agency, the U.S. Customs and Border Protection (CBP) is mainly responsible in ensuring the smooth flow of trade through U.S. port of entry (POE).

The article presents a Congressional Research Service (CRS) report on economic growth and unemployment in the U.S. as of January 2013. It cites reasons for the concern of the U.S. Congress for high unemployment, including its effects on the economic well-being of individuals and on the federal budget. Also discussed are the unemployment rate during postwar recoveries and the outlook for the unemployment rate through 2017.

The article discusses top statutory tax rates in the U.S. from 1945 to 2012 and the economy. According to the author, some economists and policymakers argue that lowering the top statutory marginal tax rates would spur economic growth. The author notes that income tax data shows that average inflation-adjusted or real income increased by 116 percent from 1945 to 2012.

The article presents a report on an economic analysis of the top tax rates in the U.S. from 1945 to 2012. According to the author, income tax rates are at the core of many policy debates over taxes. The author notes that some policymakers argue that increasing tax rates, particularly on higher income taxpayers, to increase tax revenues is part of the solution to lower debt in the long run. The author adds that advocates of lower tax rates argue that lower rates would increase economic growth.

The article discusses the developments in the global economy, particularly on the relationship between the U.S. and the rising economic powers (REP). It claims that the evolution of the economies of the REPs significantly affects exports, jobs and economic growth in the U.S. Among the REPs are China, Indonesia and Mexico.

The article focuses on a 2012 report on economically developing countries and the U.S. trade policy. The rising economic powers (REPs) include China and India based on their part in the global economy and economic development. It also adds the involvement of REPs in World Trade Organization (WTO) negotiations and in protests against U.S. economic and trade policies. It adds the impact of U.S. exports to the REPs on the U.S. economy and challenges related to free and fair trade.

The article discusses U.S. economic growth after the 2007-2009 recession. According to several indicators, the recession felt during 2008-2009 was the most severe economic contraction since the 1930s, but was much less severe compared to the Great Depression. The years 2008 and 2009 saw the negative shocking the economy more severely compared to what happened in 1929, but was not significant enough to turn a recession into a depression. In 2012, forecasters predict a slow economic growth.

The article presents the report "Economic Recovery: Sustaining U.S. Economic Growth in a Post-Crisis Economy" released by the U.S. Congressional Research Service as of November 29, 2012. Topics discussed include severity of the global financial crisis in 2008-2009 for the economic development of the U.S., Monetary and fiscal policy action, and policy responses to increase the pace of economic recovery.

The article discusses the U.S and European Union 's interest in Central Asia as institutions like the North Atlantic Treaty Organization (NATO) and the Organization & Cooperation in Europe (OSCE) continues to draw nations of Central Asia closer to Europe and the U.S. It cites Russia's efforts to maintain economic leverage in the region which is being challenged by China as it increased its aid and trade activities in the region.

The article discusses the U.S. Congressional Research Service Report for Congress, "U.S. Foreign-Trade Zones (FTZs): Background and Issues for Congress," with focus on current FTZ and worldwide zone-related issues for the U.S. Congress. It explores several issues relating to FTZs, including data availability, security, and global competitiveness impact. It also examines the effectiveness of world trade zones as an economic development tool.

The article presents information on the report about developments in the country of Kazakhstan and U.S. interests in the country. It reviews the political background of the nation, the terrorism and unrest and its position as president of the Organization for Security and Cooperation in Europe (OSCE). It also notes economic developments in the energy sector of Kazakhstan, its foreign policy and the U.S. Policy on Counter-Terrorism Support.

The article focuses on the Millennium Challenge Corp. (MCC) which provided economic assistance to developing countries that demonstrate positive performance in ruling justly, investing in people and fostering economic freedom. The difference of MCC from other U.S. air practices are cited. Also discussed are the level of funding support for MCC programs, the rate of program implementation, impact of budget reductions on programs and procurement and corruption concerns.

The article focuses on the report "U.S. Trade Deficit and the Impact of Changing Oil Prices" by the U.S. Congressional Research Service as of December 13, 2011. Topics discussed include rise in the petroleum prices between September 2010 and June 2011, rising cost of energy and its effect on rate of economic growth, and decrease in import of oil. Also mentioned are the rising price as a threat to the global economic recovery and efforts of the U.S. Congress to meet the current expenses.

This article presents a Congressional Research Service report for the U.S. Congress on the United Nations development system (UNDS). It discusses the origins, role in global development and criticism against UNDS. It provides an overview of UNDS activities. Issues that the 112th Congress may raise given the extent of U.S. participation in and funding of the UNDS include overall effectiveness and level and extent of U.S. contributions to the UNDS.

The article discusses the policies of the U.S. foreign aid agency Millennium Challenge Corporation (MCC) and explores key developments in its compacts or grant agreements. One of the criteria for choosing the eligible country is its commitment to good governance, economic freedom and investments in its people particularly in health and education. In Armenia, the compact focuses on the agricultural sector. In El Salvador, the compact will finance economic growth and poverty reduction programs.

The article presents the report "The Federal Budget: Issues for FY2011, FY2012, and Beyond" released by the U.S. Congressional Research Service (CRS) as of March 11, 2011. Topics discussed include fiscal years the imbalance between spending and revenues, U.S. president Barack Obama Administration released its FY2012 budget on February 14, 2011, and budget emphasizes the goal of continued economic growth and job creation.

The article focuses on the cooperation of the U.S. and European Union (EU) to strengthen the global economy. The U.S. and EU play a role in negotiating the differences between developed and developing countries on economic issues relating to the Doha Round of multilateral trade negotiations. U.S. and EU trade officials use two approaches to influence China to operate its economy more in accordance with market principles. Policies are also being implemented to reduce global imbalances and provide for more balanced economic growth.

The article focuses on the report "Changing the Federal Reserve's Mandate: An Economic Analysis" by the U.S. Congressional Research Service as of February 25, 2011. Topics discussed include the Federal Reserve Reform Act of 1977 mandated by the U.S. Federal Reserve for economic development in the U.S., the monetary policies implemented by the U.S. Congress for economic growth and the measures taken to reduce issues of inflation targeting.

The article focuses on the policy of the U.S. concerning nanotechnology. It is said that nanotechnology offers the potential for economic growth, high-wage jobs and societal benefits. It also looks into the National Nanotechnology Initiative (NNI) which has been launched by then President Bill Clinton in 2000 with the aim of creating a program for the coordination and expansion of measures to make advances with the technology. Issues affecting policy on nanotechnology are discussed including competition, global funding and patents.

Following two high-level policy reviews on Afghanistan in 2009, the Obama Administration asserts that it is pursuing a well resourced and integrated military-civilian strategy intended to pave the way for a gradual transition to Afghan security leadership beginning in July 2011. The pace of that transition is to be determined by conditions on the ground, as determined, in large part, by a formal DOD-led review of the Afghanistan situation in December 2010. The policy is intended to ensure that Afghanistan will not again become a base for terrorist attacks against the United States. In order to reverse security deterioration in large parts of Afghanistan since 2006, each of the two reviews resulted in a decision to add combat troops, with the intent to create security conditions to expand Afghan governance and economic development. A total of 51,000 additional U.S. forces were authorized by the two reviews, which has brought U.S. troop levels to about 104,000 as of September 4, 2010, with partner forces holding at about 40,000. At the same time, the Administration is attempting to counter the perception in the region, particularly among Pakistan, India, the Afghan insurgency, and within the Afghan political establishment that U.S. involvement will be sharply reduced after July 2011. That perception may, among other consequences, be inflaming the traditional rivalry between Pakistan and India, in this case to deny each other influence in Afghanistan. Until October 2010, there had not been a consensus that U.S. strategy has shown clear success, to date. However, in October 2010, the top U.S./NATO commander in Afghanistan, Gen. David Petraeus, as well as other U.S. and partner military officials say that signs are multiplying that insurgent momentum has been broadly blunted. One particular sign is that insurgent commanders are exploring possible surrender terms under which they might reintegrate into society. Still, some experts remain pessimistic, asserting that the insurgents have expanded their presence in northern Afghanistan, and that President Hamid Karzai's refusal to forcefully confront governmental corruption has caused a loss of Afghan support for his government. U.S. officials are reinforcing the U.S. insistence that Karzai move more decisively against governmental corruption, but reportedly will focus on lower level corruption such as police and governmental demands for bribes. In September 2010, Gen. Petraeus issued new contracting guidance intended to try to reduce corrupt uses of DoD funds spent in Afghanistan. Another U.S. concern is that several partner countries have or are soon to pull their forces out of Afghanistan. A November 19, 2010, NATO summit meeting in Lisbon is to map out a "transition" to Afghan lead on security by 2014, which many experts consider too ambitious a timetable. In order to try to achieve a strategic breakthrough that might force key insurgent leaders to negotiate a political settlement, Gen. Petraeus is attempting to accelerate local security solutions and experiments similar to those he pursued earlier in Iraq, and to step up the use of air strikes and special forces operations against key Taliban commanders. In order to take advantage of an apparent new willingness by some insurgent commanders to negotiate, Karzai has named a broadbased 68-member High Peace Council to oversee negotiations. However, there are major concerns among Afghanistan's minorities and among its women that reconciliation could lead to compromises that erode the freedoms Afghans have enjoyed since 2001. Through the end of FY2010, the United States has provided over $54.5 billion in assistance to Afghanistan since the fall of the Taliban, of which about $30 billion has been to equip and train Afghan forces. (See CRS Report RS21922, Afghanistan: Politics, Elections, and Government Performance, by Kenneth Katzman.) [ABSTRACT FROM AUTHOR]

The article presents report titled "Unemployment and Economic Recovery" by the U.S. Congressional Research Service as of August 20, 2010. It highlights the relationship between economic growth and the unemployment rate to anticipate possible future developments. It further states that if employment growth is higher than growth in the labor force, then the unemployment rate will fall.

The convergence of wireless telecommunications technology with the Internet Protocol (IP) is fostering new generations of mobile technologies. This transformation has created new demands for advanced communications infrastructure and radio frequency spectrum capacity that can support high-speed, content-rich uses. Furthermore, a number of services, in addition to consumer and business communications, rely at least in part on wireless links to broadband backbones. Wireless technologies support public safety communications, sensors, smart grids, medicine and public health, intelligent transportation systems, and many other vital communications. Existing policies for allocating and assigning spectrum rights may not be sufficient to meet the future needs of wireless broadband. A challenge for Congress is to provide decisive policies in an environment where there are many choices but little consensus. In formulating spectrum policy, mainstream viewpoints generally diverge on whether to give priority to market economics or social goals. Regarding access to spectrum, economic policy looks to harness market forces to allocate spectrum efficiently, with spectrum license auctions as the driver. Social policy favors ensuring wireless access to support a variety of social objectives where economic return is not easily quantified, such as improving education, health services, and public safety. Both approaches can stimulate economic growth and job creation. Deciding what weight to give to specific goals and setting priorities to meet those goals pose difficult tasks for federal administrators and regulators and for Congress. Meaningful oversight or legislation may require making choices about what goals will best serve the public interest. Relying on market forces to make those decisions may be the most efficient and effective way to serve the public but, to achieve this, policy makers may need to broaden the concept of what constitutes competition in wireless markets. The National Broadband Plan (NBP), a report on broadband policy mandated by Congress, has provided descriptions of perceived issues to be addressed by a combination of regulatory changes and the development of new policies at the Federal Communications Commission, with recommendations for legislative actions that Congress might take. Among the spectrum policy initiatives that have been proposed in Congress in recent years are: allocating more spectrum for unlicensed use; auctioning airwaves currently allocated for federal use; and devising new fees on spectrum use, notably those collected by the FCC's statutory authority to implement these measures is limited. The NBP reiterates these proposals and adds several more. Substantive modifications in spectrum policy would almost surely require congressional action. The Radio Spectrum Inventory Act introduced in the Senate (S. 649, Kerry) and the similar House-introduced Radio Spectrum Inventory Act (H.R. 3125, Waxman) would require an inventory of existing users on prime radio frequencies, a preliminary step in evaluating policy changes. The Spectrum Relocation and Improvement Act of 2009 (H.R. 3019, Inslee) would amend the Commercial Spectrum Enhancement Act of 2004 (P.L. 108-494, Title II). The Broadband for First Responders Act (H.R. 5081, King) would allocate additional radio frequencies for public safety use. [ABSTRACT FROM AUTHOR]

The article presents the report titled "The Size and Role of Government: Economic Issues" released by the U.S. Congressional Research Service as of June 14, 2010. Topics discussed include factors responsible for market failure including externalities, public goods, and asymmetric information, effect of taxes on economic efficiency, and effect of government on economic growth.

The Federal Reserve (Fed) defines monetary policy as the actions it undertakes to influence the availability and cost of money and credit to help promote its congressionally mandated goals, achieving a stable price level and maximum sustainable economic growth. Since the expectations of market participants play an important role in determining prices and growth, monetary policy can also be defined to include the directives, policies, statements, and actions of the Fed that influence how the future is perceived. In addition, the Fed acts as a "lender of last resort" to the nation's financial system, meaning that it ensures its sustainability, solvency, and integrity. This role has become of great importance with the onset of the financial crisis in the summer of 2007. Traditionally, the Fed has had three means for achieving its goals: open market operations involving the purchase and sale of U.S. Treasury securities, the discount rate charged to banks who borrow from the Fed, and reserve requirements that governed the proportion of deposits that must be held either as vault cash or as a deposit at the Federal Reserve. Historically, open market operations have been the primary means for executing monetary policy. Recently, in response to the financial crisis, direct lending has become important once again and the Fed has created a number of new ways for injecting reserves, credit, and liquidity into the banking system, as well as making loans to firms that are not banks. As financial conditions normalize, the Fed is moving back to a more traditional reliance on open market operations. The Fed conducts open market operations by setting an interest rate target that it believes will allow it to achieve price stability and maximum sustainable growth. The interest rate targeted is the federal funds rate, the price at which banks buy and sell reserves on an overnight basis. This rate is linked to other short term rates and these, in turn, influence longer term interest rates. Interest rates affect interest-sensitive spending - business capital spending on plant and equipment, household spending on consumer durables, and residential investment. In the short run, monetary policy can be used to stimulate or slow aggregate spending. While monetary policy is charged with promoting maximum sustainable economic growth, it does so only indirectly in the long run by maintaining a stable price level since the direct effect of monetary policy is primarily on the rate of inflation. A low and stable rate of inflation through the business cycle promotes price transparency and, thereby, sounder economic decisions by households and businesses. The Fed has frequently changed the federal funds target to match changes in expected economic conditions. Between January 3, 2001, and June 25, 2003, the target rate was reduced to 1% from 6½%. This policy was reversed on June 30, 2004, and in 17 equal increments ending on June 29, 2006, the target rate was raised to 5¼%. No additional changes were made until September 18, 2007, when, in a series of 10 moves, the target was reduced to a range of 0% to 1/4% on December 16, 2008, where it now remains. Since then, the Fed has added liquidity to the financial system beyond what is needed to meet its federal funds target through direct lending and, more recently, purchases of Treasury and government sponsored enterprise (GSE) securities. This practice is sometimes referred to as quantitative easing. For more information on the Fed's crisis-response actions, see CRS Report RL34427, Financial Turmoil: Federal Reserve Policy Responses, by Marc Labonte. Legislative changes to the Fed's duties and authority related to financial regulatory reform can be found in CRS Report R40877, Financial Regulatory Reform: Systemic Risk and the Federal Reserve, by Marc Labonte. [ABSTRACT FROM AUTHOR]

Following the end of the apartheid era in South Africa in the early 1990s, the United States sought to increase economic relations with Sub-Saharan Africa. President Clinton instituted several measures that dealt with investment, debt relief, and trade. Congress required the President to develop a trade and development policy for Africa. The economic challenges facing Africa today are serious. Unlike the period from 1960 to 1973, when economic growth in Sub-Saharan Africa was relatively strong, since 1973 the countries of Sub-Saharan Africa have grown at rates well below other developing countries. There are some signs of improvement, but problems such as HIV/AIDS and the debt burden are constraining African economic growth. The global economic crisis and its aftermath have also profoundly affected the region. In May 2000, Congress approved a new U.S. trade and investment policy for Sub-Saharan Africa in the African Growth and Opportunity Act (AGOA; Title I, P.L. 106-200). U.S. trade with and investment in Sub-Saharan Africa have comprised only 1%-2% of U.S. totals for the world. AGOA extends preferential treatment to imports from eligible countries that are pursuing market reform measures. Data show that U.S. imports under AGOA are mostly energy products, but imports to date of other products have grown. AGOA mandated that U.S. officials meet regularly with their counterparts in Sub-Saharan Africa, and six of these meetings have been held. AGOA also directed the President to provide U.S. government technical assistance and trade capacity support to AGOA beneficiary countries. Government agencies that have roles in this effort include the U.S. Agency for International Development, the Assistant U.S. Trade Representative for Africa (established by statute under AGOA), the Overseas Private Investment Corporation, the Export-Import Bank, the U.S. and Foreign Commercial Service, and the Trade and Development Agency. In addition to bilateral programs, the United States is a member of several multilateral institutions that provide trade capacity building. In AGOA, Congress declared that free-trade agreements should be negotiated, where feasible, with interested Sub-Saharan African countries. Related to this provision, negotiations on a freetrade agreement with the Southern African Customs Union, which includes South Africa and four other countries, began in June 2003, but were suspended in April 2006. Several topics may be important to the 111th Congress in the oversight of AGOA and in potential legislation amending the act. First, S. 1141 (Feinstein, introduced May 21, 2009, the TRADE Act of 2009) seeks to establish a trade preference program for least-developed countries such as Afghanistan, Bangladesh, and Yemen. Second, an emerging area of concern for Sub-Saharan African countries is growing interest in Congress over reforming trade preference programs by combining existing programs, some of which are due to expire at the end of 2010, into a unified package. H.R. 4101 (McDermott, introduced November 18, 2009) proposes such an approach. Some African leaders have expressed concern that a preference program giving trade benefits similar to those enjoyed by AGOA countries, or creating one trade preference program for all developing countries, would lead to erosion of the preferences granted to African countries under AGOA, and place them in direct competition for U.S. market share and investment with other developing and least-developed countries such as Bangladesh and Cambodia. [ABSTRACT FROM AUTHOR]

The United States and the European Union (EU) share a comprehensive, dynamic, and mutually beneficial economic relationship. Transatlantic markets are among the most open in the world and are deeply integrated. Although the global economic crisis has had a significant negative impact on the transatlantic economy, the great stake each side has had in the other's economy has afforded both sides the ability to withstand the worst of each other's current economic downturn. The key measure of the strength of the transatlantic relationship has been the ability of both sides to work with each other to weather the financial storm. One issue that has worked against an even stronger economic relationship is the existence of regulatory barriers that limit an even more integrated market from materializing. The United States and the EU have engaged in a number of attempts to reduce remaining non-tariff and regulatory barriers to trade. In the most recent effort, then President Bush and German Chancellor Merkel, serving as President of the EU, at the April 2007 U.S.-EU Summit agreed to establish the Transatlantic Economic Council (TEC). The TEC was directed to "advance the work of reducing or eliminating non-tariff barriers to transatlantic commerce and trade." The leaders also created an advisory group to "provide guidance and direction" to the TEC and invited the U.S. Congress, along with the European Parliament, to accept a new, more substantive role in transatlantic regulatory cooperation by becoming part of the advisory group. The Transatlantic Legislators' Dialogue (TLD), the formal exchange between Congress and the Parliament, was appointed to represent the legislatures in the TEC advisory group. Since it began nearly two decades ago, transatlantic regulatory cooperation has been mostly limited to the executive branches and regulatory bodies on both sides of the Atlantic. However, the idea of legislators assuming a more proactive role in transatlantic economic and regulatory cooperation is not a new issue. At the 1995 launch of the New Transatlantic Agenda, the leaders of the United States and EU acknowledged that they "attached great importance to enhanced parliamentary links" and agreed to "consult with parliamentary leaders on both sides of the Atlantic regarding consultation mechanisms, including building on existing institutions, to discuss matters related to our transatlantic partnership." Advocates of the effort to achieve a more barrier-free transatlantic marketplace believe that ultimate success cannot be achieved without the strong commitment and active engagement of the U.S. Congress and the European Parliament. Although the Transatlantic Legislators' Dialogue has been in existence since 1999, there continues to be an apparent lack of familiarity with its structure, membership, and function. With respect to its role in the TEC process, several questions have been raised including the make up of the TLD, the role of the standing committees in both the Congress and the Parliament, the staff, and the role of the U.S. Senate. A number of options for reform have been proposed. This report provides background and analysis on the TEC process, the role of the Congress, and the TLD. For additional information see CRS Report RL34717, Transatlantic Regulatory Cooperation: Background and Analysis, by Raymond J. Ahearn, and CRS Report RL30608, EU-U. S. Economic Ties: Framework, Scope, and Magnitude, by William H. Cooper. [ABSTRACT FROM AUTHOR]