Lack of labour protections is fuelling the college wage premium in United States
Getting a university education can be expensive, and the benefits of having a four-year degree vary a lot depending on where you live. But it has not always been this way.
In the 1980s, university-educated workers in the U.S. and Europe both made approximately the same amount more than workers whose highest level of education was a secondary school diploma. This disparity is called the college premium. In Europe, it has remained relatively stable over the past forty years, but in the U.S., it has more than doubled in the same time frame. Click here for full text |
Stockpiling household goods when they're on sale can be a highly effective investment strategy
As anyone who has visited a Walmart Supercenter on Black Friday can tell you, just about everyone loves a deal. Those carts stacked with discounted cleaning supplies and bulk toilet paper are more than just obstacles in a crowded parking lot. Stockpiling household goods is a strategy that shoppers can use to keep their overall spending low. For households that stock up on goods at the right price, gains can add up quickly. Recent research by Stephanie Johnson shows that sales, coupons and bulk purchases allow households to achieve returns exceeding 30%.
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Mortgage refinancing decisions influenced by nearest neighbours, but effect decreases with distance
Taking out a mortgage stands is monumental financial decision, often the most significant one in a person's life. A higher interest rate over the mortgage's lifespan can substantially inflate overall costs by tens of thousands of dollars. Refinancing at the right time can lead to significant savings, especially for mortgages with extended terms, the norm in the United States. But with so much on the line, who do you turn to for advice? Turns out, it's largely influenced by neighbours who live nearby.
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Companies headquartered in tax havens are less charitable
Walgreens is one of America’s most powerful brands. Founded in 1901, the midwestern pharmacy chain even claims to be the birthplace of an American classic, the malted milkshake. Today, over 9,000 Walgreens pharmacies fill over 1 billion prescriptions each month—and bring in nearly $130 billion in annual revenue.
But, in 2014, the company considered stashing these profits beyond the reach of the IRS. By acquiring Boots Alliance—a British pharmacy chain that is headquartered in Switzerland for tax purposes—Walgreens reached the threshold of 20 percent foreign ownership, qualifying the company to move its headquarters out of the United States. Click here for full text |
In tough economic times, private label brand prices increase more
Buying private-label brands can be a good way to save a few bucks. In the U.S., Costco and Walmart house brands offer similar quality to national brands but for far less—25% off or more. In 2020, private-label goods generated more than $158 billion of sales, about a fifth of the sector.
The category expanded during the pandemic, likely because in tough economic times, more consumers tend to buy private-label goods, but greater demand can drive up private-label prices faster than national-brand prices, reducing the key benefit of affordability. When the Great Recession started in 2007, for instance, house-brand prices rose 31 percent more than national brands, research has found. Click here for full text |
Wage Garnishment in U.S. more common than previously known
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