Marketplace on RADIO IQ
Marketplace with host Kai Ryssdal produced and distributed by American Public Media focuses on the latest business news both nationally and internationally, the global economy, and wider events linked to the financial markets.
The only national daily business news program originating from the West Coast, Marketplace is noted for its timely, relevant and accessible coverage of business, economics and personal finance.
Tuesday, June 30, 2015 2:40pm
The need-to-know numbers about the Greek debt crisis, explained by Paddy Hirsch.
Produced by Preditorial | www.preditorial.tv
Writer and Host: Paddy Hirsch
Director and Edtor: Rick Kent
Director of Photography: Anton Seim
Producer: Mimi Kent
Tuesday, June 30, 2015 7:00am
A new move from President Barack Obama aims to make more Americans eligible for overtime pay. The proposal, announced Tuesday, could mean bigger paychecks for up to five million workers.
Employees with a salary of $23,660 a year or more can be considered management and barred from time-and-a-half pay, even if they work more than 40 hours. The proposed change from the Obama administration would raise the bar to $50,440. And it'll move in the future to keep pace with inflation and wage growth.
Dan Hamermesh, Professor Emeritus of economics at University of Texas at Austin, doesn’t think the overall effects will be very large. Many workers will get small wins: either get a slight bump in take home pay or have slightly shorter hours for the same salary.
“It will also, I’m pretty sure, create jobs,” he adds. “If an extra hour becomes more expensive, some employers are gonna wanna hire more people.”
This is all likely to raise costs for companies, which is why business advocates aren’t happy.
A change like this does not require approval from Congress, but it’s not a done deal yet. It’ll be open for public comment and could take several months to finalize.
Mark Garrison: Right now, employees with a salary just under $24-thousand dollars can be considered management and barred from time and a half pay. The rule change from the Obama administration would raise the bar to a little over 50-grand. And it'll move in the future to keep pace with inflation.
Dan Hamermesh: I don’t think this is a huge thing. I think it’s beneficial. I don’t think the effects will be very large.
University of Texas economics professor Dan Hamermesh says many workers will either get a small bump in take home pay or have slightly shorter hours for the same salary.
Dan Hamermesh: It will also, I’m pretty sure, create jobs, because if an extra hour becomes more expensive, some employers are gonna wanna hire more people.
This is all likely to raise costs for companies, which is why business advocates aren’t happy. A change like this does not require approval from Congress, but it’s not a done deal yet. It’ll be open for public comment and could take several months to finalize. In New York, I'm Mark Garrison, for Marketplace.
Tuesday, June 30, 2015 7:00am
Greece and the faulty assumption that everyone has access to a credit card. We'll check in on how Greek citizens are handling the banks being shutdown there. Plus, the Export-Import Bank’s charter expires at midnight Wednesday: we look at how this leaves it in an awkward state of limbo. And Apple's new music streaming service launches today. We'll talk about what to expect.
Tuesday, June 30, 2015 6:00am
The controversial Export-Import Bank’s authorization will expire at the stroke of midnight Wednesday, meaning the government institution that finances exports made by American companies, among other things, can follow through on its existing loans and guarantees, but can’t fund new ones.
The bank has long been targeted by some Republicans who don’t believe the government should be involved in this market and that the bank only benefits large corporations.
Representative Jim Jordan, a Republican from Ohio, says the bank amounts to corporate welfare and sees opportunity in Wednesday’s expiration.
“It’s one thing to reauthorize it,” he says, noting the bank has been reauthorized numerous times during its eight-decade existence. “It’s another thing to restart it once it’s already expired.”
Supporters of the Ex-Im Bank, meanwhile, argue it fills a gap in the private lending market for companies of all sizes and that the uncertainty leading up to Wednesday’s expiration has already hurt American businesses.
"Symbolically, [the expiration] is hugely important," says Edward Alden, a senior fellow with the Council on Foreign Relations. "I do think contracts will be lost, though it's hard to put a clear number on it."
“The winner here is China and other countries that are going full steam ahead with their own export credit agencies and taking advantage of the opportunity to see Ex-Im lapse,” says Miriam Sapiro, principal at the consulting firm Summit Strategies and a former deputy U.S. trade representative.
Sapiro’s hoping Congress will reauthorize the bank when it’s back in session in July.
Tuesday, June 30, 2015 6:00am
Banks are rationing cash, European creditors are closing in — sounds like the current situation in Greece. But that was Cyprus, two years ago.
Even though their economies are different, Greece could learn some lessons from Cyprus.
Lesson one? Staying with the euro doesn’t mean a trip down easy street. Cyprus still struggles with high unemployment.
Lesson two? Listen to creditors, like the International Monetary Fund.
“Cooperating with the IMF paid off for Cyprus because, after two years they’re on the road to recovery,” says Charles Movit, an economist at IHS covering Cyprus.
“I don’t think so at all,” says Mark Weisbrot, co-director of the Center for Economic and Policy Research. He says Cyprus is still in bad shape.
“A lot of people have suffered," he says. "They’re still unemployed. A lot of businesses went bankrupt.”
But Weisbrot and Movit agree on lesson three: limits on how much money can be sent abroad or taken out of a bank can help keep cash where it’s needed.