World Perspectives

Deadlines, Benefits, Legislation

Budget Agreement and Markets: The budget fight in Washington is said to be the difference between using spending cuts or tax hikes to achieve a balance. On this measure, two sides appear far apart on these opposing flows of money. However, from the market's standpoint, the key question is: When will the government assert effective control over the deficit? The Republicans have suggested 10 years to achieve a "balanced budget," while no date certain was offered by the Democrats. The solution is for the Democrats to offer a date certain, be it 20, 30 or 50 years, and then for the two sides to reach a compromise. The market's first and foremost concern is a growing debt without end. By first agreeing on a deadline, the two sides can then wor...

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From WPI Consulting

Communicating importance of value-added products

Facing increasing pressure to quantify the value of export promotion efforts to investors, a U.S. industry organization retained WPI to develop a quantitative model that better communicated the importance of exports. The resulting model concluded that value-added meat exports contributed $0.45 cents per bushel to the price of corn, increasing support for that sector’s financial support of WPI’s client. In addition to serving the red meat industry with this type of analysis, WPI has generated similar deliverables for the U.S. soybean and poultry/egg industries.

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