Audi CEO Rupert Sadler Arrested

By Nick Baum

MONDAY – 6/18/18

Just hours ago, Audi CEO and Chairman Rupert Sadler was arrested in Germany in an investigation into diesel and emissions of the cars made by Audi. In a press release, a spokesman for Volkswagen (Audi’s parent company) Nicolai Laude confirmed that Sadler was arrested, but declined to comment on the current investigation.

Sadler had been CEO of Audi since the start of 2010, and had been promoted to CEO in the midst of Volkswagen’s alleged cheating in different emissions tests. From 2008 to 2015, Volkswagen allegedly installed software in their cars to cheat during emissions testing, when in reality the cars were said to pollute up “10 to 40 times more” than other cars, said the Environmental Protection Agency (EPA), whom made the allegations Sept. 18, 2015.

The arrest had also come just a week after prosecutors searched Sadler’s home for any evidence, and also just days after Germany placed a $1.2 Billion dollar penalty on Volkswagen for their alleged cheating and software used during emissions testing. All ready, Volkswagen’s stock in the Frankfurt Stock Exchange had fallen by more than 2%.

Sources: Environmental Protection Agency, Flickr, CNBC, CNBC Explains, CNN Money, Wikipedia

Trump Will Skip Part of G7 Summit

By Nick Baum

FRIDAY – 6/8/18

Yesterday, US President Donald Trump announced he plans to leave the Group of 7 Summit a few hours early, according to the White House. The decision came after a back and forth Twitter feud with Canadian Prime Minister Justin Trudeau and French President Emanuel Macron over tariffs and a possible trade war.

At the summit, which will be held in remote Quebec, an aide of Trump will replace him for the final hours of the summit which Trump plans to skip. As said before, the decision was made after a Twitter exchange with other leaders, but the exact reason, according to the White House, is avoid confrontation or argument over the US’s new tariffs.

Trump also said he was “enthusiastic” about creating new tariffs and protecting American workers, but said he was “unenthusiastic” about waging and expressing his plans to other world leaders in person. However, trade tensions are still expected to be the top of the discussion for the two days of the G7 Summit, even after President Trump leaves.

Sources: CNN, Wall Street Journal, Wikipedia, White House

OPINION: Tariffs Never Work

By Nick Baum

THURSDAY – 6/7/18

The news about tariffs in the most recent months is absolutely idiotic, but before I dive in let me explain exactly what a tariff is. A tariff is an added tax or price on a certain product that comes from another country. For example, President Trump had the US start its tariff program by adding tariffs on Chinese steel and aluminum, meaning steel and aluminum in the United States that came from China will be higher, which will force companies to buy from American workers.

So you can see why tariffs are used a lot, as it is seen as a way to protect American workers and sort of force companies to buy and hire American. Except, it doesn’t really work in real life. When tariffs are added in a certain category, it actually has a very low chance of actually helping the country’s workers, because usually, the companies who are most effected by the tariffs will either find a loophole, use a different material, or just take the same product from another country.

Not only that, but tariffs can easily backfire because it raises the price of products¬†in America. If you’re shopping for clothes in America and you found something that recently had a tariff on, that price will rise, and in many circumstances, by a lot. Tariffs sometimes help American workers, but backfires when it makes it difficult for American consumers to get the certain product.

Donald Trump recently added tariffs in different categories on China, and the response is, well, you guessed it. Different prices are soaring, American workers are somewhat being helped, but now a trade war is occurring. A trade war is when different countries slap tariffs on certain products from the same country that slapped tariffs on them. Basically, it is an endless back and forth cycle of countries putting tariffs on different products.

Already, after the United States’s tariffs, Canada, Mexico, and the European Union decided to add their own tariffs, and that doesn’t even include China, which is most effected by this decision. Not only does this prompt poor relations, but it hurts the economy, because certain products have gotten more expensive. If it wasn’t for Trump’s tariffs, the stock market could’ve shot even further up. However, now it is rocky, not only the stock market, but trade relations with our closest allies.

Sources: CNN, Wall Street Journal, Wikimedia Commons, Fox News

EXCLUSIVE: May Jobs Report Shows Great Signs for Economy

By Nick Baum

SUNDAY – 6/3/18

In a jobs report released just yesterday, positive numbers in many areas of the economy have been proven with a monthly financial report on jobs and economics. The unemployment rate has fallen to its lowest in half a century, 3.8%, with 223,000 jobs being added in the month of May.

In other areas, the average hourly earnings, or wages, overall went up in America by 2.7%. The unemployment rate in other aspects also went down, too. The black, latino, women, and non high school graduating unemployment rate has hit its lowest point.

Criticism has still been shared by different opponents, too. House Minority Leader Nancy Pelosi said that those numbers “mean nothing”, and criticized the consequences of Trump’s approved tax plan earlier this year. The White House Twitter account also violated a passed law in the 2000’s, in that if a jobs report is released, an official government source must share at least an hour after. However, both the White House and Trump shared it shortly after.

Sources: Wall Street Journal, USA Today, UMN News

EXCLUSIVE AND OPINION: Ranking the Top 20 Cities for Amazon’s Second Headquarters (Part 2)

By Nick Baum

Note: DON’T READ THIS POST IF YOU HAVEN’T LOOKED AT THE ORIGINAL PART ONE. LINK HERE:¬†https://thedailynick.com/2018/05/06/exclusive-and-opinion-ranking-the-20-cities-for-amazons-second-headquarters-part-1/

Ever since Amazon first announced they will build a second headquarters, 238 cities across North America sent bids in hopes to obtain the new headquarters, and now, only 20 remain, and the final ten of them will be ranked.

10. Denver, Colorado – The mile high city has been a commercial and tech hub in the mountain region, attracting startup companies for its growing population and skill set. The city also gives out tax breaks and has often looked up to larger companies, giving the city a chance.

9. Dallas, Texas – Dallas is a city that has all of the abilities and needs that Amazon is looking for. Transportation, check. Education, check. Innovation, check. What brings Dallas down however is other cities being able to do the same necessities, but better. Nevertheless, Dallas has a good shot

8. Philadelphia, Pennsylvania – The city of brotherly love has seen a massive breakthrough of innovation and commercial success over the past years, and doubled with close vicinity to New York City and other candidate city Newark, gives the city to admire.

7. Miami, Florida – Much like Philadelphia, Miami has seen a recent influx or corporations wanting to move to city that can offer more space and less tensions. Miami is also a city built on tourism and vacationing, not companies. So, while smaller companies might enjoy the increased chances of profit, Amazon might see some difficulty despite the abilities Miami contains.

6. Toronto, Ontario, Canada – Being the only Canadian city on this list, Toronto can perform differently from the rest of the mainstream American crowd, and his the abilities to use different strategies through tax breaks and incentives. Much like New York, it is a powerhouse and is the highest market in Canada, also bringing expensive costs into question.

5. Chicago, Illinois – The windy city is a city that can offer lots to Amazon. It has low costs, lots of commercial success, transportation and airports, and much more, only bringing into question the city’s high crime rate, looking rather unattractive.

4. Columbus, Ohio – This smaller city is still the biggest in Ohio, and can offer low costs as well as transportation between two other Ohio cities, Cleveland and Cincinnati. Columbus has a relatively small market, but hopes for a new rebirth in the city’s economy if Amazon comes in, which is hopeful.

3. Northern Virginia, Virginia – This section of the state can offer the same benefits of Washington DC, but without the high tax rate and limited space. Innovation has been spreading throughout the region, with many companies calling the state home. That mixed with the amount of space available and tax cuts, means Northern Virginia is a top contender.

2. Austin, Texas – The capital of Texas is a very successful city that has been growing large in size ever since the great recession. Contrasting from other entries, Austin has a relatively conservative government, meaning there are more lower taxes as well as space for bigger companies. All in all, and politics aside, Austin has a major chance.

1. Atlanta, Georgia – What other city provides everything that Amazon is looking for in a new headquarters, but in such a good way? Atlanta. The city was founded as a major transportation hub, but has seen an increase in companies and corporations in the area. Atlanta gives plenty of tax breaks to both companies and movies, which is why many movies and tv shows have been shot there, including the Walking Dead, Stranger Things, the Hunger Games, and Baby Driver have been filmed there. Atlanta has the best shot, every requirement Amazon needs the city is one step ahead, making their chance the best of all.

Sources: CNBC, TheDailyNick (Part 1), Tech Crunch, Wall Street Journal

EXCLUSIVE AND OPINION: Ranking the 20 Cities for Amazon’s Second Headquarters (PART 1)

By Nick Baum

SUNDAY – 5/6/18

Ever since Amazon has announced a new second headquarters, hundreds of cities across North America raced to prove why they were best for the company to move its new location. Out of the over 200 bids, came just 20 finalists, ranked. (List goes from least likely to most likely)

20. Washington D.C. – D.C. definitely has some advantages, as having a headquarters in the capital of America as well as an up and coming tech hub can give power to the company. However, take into account the amount of space available in DC as well as high taxes and costs.

19. Montgomery County, Maryland – Montgomery County has a strategic location for Amazon, being squeezed in between both D.C. and Baltimore. Unlike DC, Baltimore didn’t make it to the finalists so the fact that the county of about a million people can rival major cities with their education and transportation proves promising. However, similarly to DC, Montgomery County has very high taxes, and not enough space in the densely populated area.

18. Nashville, Tennessee – Nashville is a center for innovation in the Tennessee area, with many companies flocking to the innovation center. However, the city’s lack of education as well as proximity from any major transportation lines proves to be hard on the city’s bid.

17. Indianapolis, Indiana – Similar to Nashville, Indianapolis is the center of the regional area around, with many companies and important programs in Indiana being centered there. However, the lack of an economy as well as a bigger rival just north of them, Chicago, can prove strong against the city.

16. Newark, New Jersey – Being the smallest city on the list, Newark is the underdog in the battle for Amazon, but has the capabilities. The city is connected to railroad stretching through the east coast, has an airport a short distance from downtown, and is also home to Amazon’s Audible, an audio-book company, as well as having education and tons of space in the city. However, the small size of the city, negative publicity due to its very high 7 billion dollar bid, as well as close proximity to two other candidates, New York and Philadelphia, can prove to be costly for the Brick City.

15. Pittsburgh, Pennsylvania – The western Pennsylvanian industrial powerhouse definitely has a shot at Amazon, but will be hard to deliver. Having lots of space in terms of both warehouses and factories, Pittsburgh can deliver. However, the lack of innovation as well as startups or new programs in the city can prove difficult.

14. Raleigh, North Carolina – Raleigh has a stable and well city that has low taxes and can always welcome a new company. However, if you take into account the lack of skills or transportation to other cities, let alone the fact that its the biggest city for miles, could be costly.

13. Boston, Massachusetts – Boston is a stronghold in the region, being the center for finance and commerce in New England while holding a fierce rivalry with New York City. Boston has strong innovation and leadership in the region, as well as strong culture and transportation for Amazon. Despite all of this though, Boston has a high tax rate, and has seen a fair share of corporations leave the city, but Boston still has a small shot at delivering.

12. Los Angeles, California – The City of Angels is dominant in the southwest, boasting lots of companies and startups throughout the region. The city has a population of 4 million, has multiple universities and has multiple airports. Despite all of this though, high taxes and homelessness could be a setback.

11. New York City, New York – The Big Apple might be the largest city in the country, attracting companies big and small and having world class universities and transportation, but similarly to Los Angeles, high taxes as well as space and many regulations in New York might damage the city’s chances, but New York still has a good shot.

The bottom 10 will be featured on Part 2.

Sources: Wall Street Journal, Tech Crunch, CNBC

Unemployment Rate Falls to 3.9%, Lowest since 2000

By Nick Baum

SATURDAY – 5/5/18

A new report by the US Department of Labor Statistics has concluded that the unemployment rate has dropped from 4.1% in March to 3.9% in April. The last time the unemployment rate has dropped below 4%, was in the later months of 2000.

The statistic has come after the stock market started to regain its footing yesterday, finishing above when it started, and is currently around 24,300. However, many don’t feel the same hope about the economy, as the last time the unemployment rate was below 4%, it came shortly before a recession.

Wage growth has also been slow this April, with barely any progress on salaries. Enthusiasm for jobs has also remained low, despite the even lower unemployment rate. However, we have yet to determine the future of the economy.

Sources: US Labor Department, Wall Street Journal