The Federal Reserve recently adopted a two percent inflation target, reports Thomas Palley, AFL-CIO senior economic policy advisor. The Fed should be looking at policies that improve wages, not ones that will undercut the possibility of future wage increases and make it more difficult to achieve full employment, Palley writes In an Op-Ed published in the Economists' Forum blog titled, "The Fed's 2% Inflation Target Trap." 

We can strengthen the U.S. economy and invest in our nation's infrastructure and workers. A long-term plan for growth is needed, and it certainly doesn't involve austerity. 

Yale University Professor Jacob Hacker and Roosevelt Institute Founder Nathaniel Loewentheil today released their new paper, Prosperity Economics: Building an Economy for All, at the Economic Policy Institute. This bold paper provides a comprehensive plan to grow our nation’s economy in a way that works for everyone. 

President Obama called for a one-year extension of Bush-era tax cuts for Americans making less than $250,000 a year while ending the tax cuts for the wealthiest two percent of Americans. This is a sharp contrast to Republicans in Congress who are calling for an extension of the tax cuts for all tax brackets—even for millionaires and billionaires.

Maryland Gov. Martin O’Malley (D) and Columbia University Professor Dorian Warren both say the best way to solve the nation’s economic crisis is to grow the middle class rather than allowing wealth to concentrate in fewer and fewer hands. Unions, they say, will play a vital role politically and economically in building a strong middle class.

O'Malley and Warren spoke on a conference call with reporters Friday to counter recent attacks by Republican lawmakers on workers and their unions.

The U.S. economy added 120,000 jobs last month and the unemployment rate dipped slightly to 8.2 percent, according to the Labor Department report released this morning. Economists had predicted stronger job growth, in line with recent months when 200,000 or more jobs were created.

Let’s say you’re earning the $7.25-an-hour minimum wage. How many hours would you have to work to equal what a year of college costs? How about a year of family health insurance premiums?

The Center for Economic and Policy Research has crunched the numbers and they’re not pretty.

This is a cross-post from the California Labor Federation's Labor's Edge blog.

California was built with a vision that prioritized investments in our future. From creating a world-class infrastructure to seeding innovation through our schools and universities, investments fueled the economic miracle that once was our state. But as those investments dried up in recent years, we’ve risked tearing the very fabric of California.

It’s time to chart a different course.

[On Tuesday], the California Labor Federation and the state Building and Construction Trades Council unveiled labor’s new “Invest in California” jobs plan, which focuses on renewing the state’s commitment to innovation and investments that built an economy of broadly shared prosperity.

Marco Trbovich, vice president at Tricom Associates, sends us this.

Atlanta Mayor Kasim Reed led a presentation on his city’s initiative to retrofit a wide range of commercial, public and residential buildings in a 400-block area of downtown that proved the highlight of a gathering of investors, pension fund managers, business, labor and community leaders at Heartland Capital Strategies’ first Responsible Investment Forum.

If you want to prepare yourself for the inevitable election year discussions/arguments with your right-wing uncle or tea party neighbor about the nation’s economy and how we got into the ditch that we’re finally driving out of, check out Failure by Design: The Story Behind America’s Broken Economy.

The misery of U.S. joblessness has everyone’s attention, but in the African American community, high unemployment has been the norm for 50 years, in good times and bad.