March 29, 2024

With Interest: The Week in Business: Amazon Breaks Up With New York, and Warren Buffett Takes Stock

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Do you have Presidents’ Day off? I hope so, and that you’re spending it someplace warm and dry, even if that’s just a nest of pillows your living room. The third week of February is the peak of winter drear, in my opinion, and we could all use a break from the gray skies and interminable drama in Washington. Whether you’re heading into a short workweek or not, here’s what to know when it starts, from the latest on President Trump and the wall to the market outlook from the billionaire investor Warren Buffett, and other business and tech news.


FEB. 10-16

So much for negotiating. Congress passed a spending bill to keep the government open before the deadline on Friday, but the legislation only includes $1.375 billion for 55 miles of steel-post fencing along the southern border. That’s a fraction of the $5.7 billion for more than 200 miles of steel or concrete barriers that President Trump has been demanding for months. Mr. Trump responded by declaring a national emergency to tap into billions of dollars originally earmarked for other government projects. Critics view this action as an attempt to save face on his wall promises. But the move also raises questions about his executive powers, and will most likely be challenged in the courts.

Alexa, we hardly knew thee. Amazon abruptly canceled its plan to build a sprawling corporate campus (also known as HQ2) in New York City, citing backlash from government leaders, unions and residents. Although the company promised to bring 25,000 new jobs to the area, that wasn’t enough to drown out critics who opposed the cushy tax breaks and other financial incentives that New York lawmakers used to lure the tech giant to Long Island City, Queens. “A number of state and local politicians have made it clear that they oppose our presence and will not work with us to build the type of relationships that are required to go forward,’’ Amazon said in a statement on Thursday. It still plans to build another campus in Virginia.

Oh look, the dreaded tax forms in your mailbox: It’s that time again. To make this season even more painful, millions of Americans will get smaller tax refunds this year, or find that they owe money despite no changes in their salaries. Yes, the Trump administration’s tax overhaul was supposed to keep more money in your pocket, but the average refund for early filers was down 8.4 percent. What’s going on? For some taxpayers, it’s that certain deductions no longer apply. For others, it’s that less money was withheld from their pay last year. Either way, this isn’t what you want to hear from your accountant, and it could dampen consumer spending in the coming months.

Article source: https://www.nytimes.com/2019/02/16/business/the-week-in-business-amazon-warren-buffett.html?partner=rss&emc=rss

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