Click here to receive the Daily Digest via email.
Default Notes (NYT)
Paul Krugman is concerned by the seeming non-response from markets to the possibility of a government default in mid-October. Shouldn’t big business be worrying about the possibility of another recession, cuts to Federal spending, and a plunging dollar?
You Really Ought to Be More Terrified of the Debt Ceiling (The Atlantic)
Derek Thompson points out that while a shutdown would have predictable effects, we have no idea what will happen if Congress fails to raise the debt ceiling. It’s unclear if there’s even a way for the government to prioritize payments in such a situation.
How One Stroke of the Pen Could Lift Wages for Millions (MSNBC)
Ned Resnikoff presents two possible executive orders that would raise the low wages of two million federally contracted workers. Many of these workers in DC are striking again, this time rallying outside the White House.
Thousands of Grocery Workers Vote on Strike Authorization (The Nation)
Allison Kilkenny reports on a United Food and Commercial Workers vote this week that could lead to strikes if contract negotiations with major grocery chains break down. The biggest concern is health insurance for part-time workers who are union members.
Some Public Companies are Divulging More Details About Their Political Contributions (WaPo)
Dina ElBoghdady reports that due to mounting pressure from shareholders and threats of lawsuits, some large publicly traded companies are starting to disclose more of their political donations. The SEC is deciding whether to step in and mandate such disclosures.
Insight: Wal-Mart ‘Made in America’ drive follows suppliers’ lead (Reuters)
Jessica Wohl and James B. Kelleher argue that for all the stars-and-stripes PR, Walmart’s decision to buy more American-made goods is all business. U.S. made products have lower shipping costs and no tariffs, which improves the mega-retailer’s bottom line.
SEC Wins Big Fine From JPMorgan but Execs Skate Free (ProPublica)
Jesse Eisinger argues that even though JPMorgan is paying a large settlement for its wrongdoing in the London Whale case, the public still loses. Unless the Volcker Rule is written with serious disclosure requirements, executives will continue to be in the clear.