Last week, President Obama announced a slew of measures and proposals in an attempt to kick-start the economy; from hefty tax breaks for businesses to rolling out cash to fund infrastructure projects. The good news is, from a big-picture perspective, some of these proposals address the problem of private hiring (or lack of it to be exact).
A cynic would question how much of this is politics ahead of the mid-term elections?
The U.S. Congress returns to session for a limited period of three-to-four weeks before lawmakers leave Washington again for a final burst of campaigning. Whether interest in these latest proposals will be sustained after the elections remains to be seen. It will depend on the outcome of the elections, of course.
One of the centerpieces of these proposals is a useful policy idea for businesses that has been advocated for years - 100% expensing of most capital expenditures for 16 months.