Research Library

U.S. fiscal policy should focus on stabilizing the long-term budget outlook by supporting robust economic growth, broadening the tax base, and reducing federal spending. This new policy brief from John W. Diamond, director of the Baker Institute Center for Public Finance outlines the issue and recommends policy actions.

Despite being one of the largest and most dynamic sectors of the U.S. economy, the construction industry faces a severe labor shortage due to an aging workforce, lower birth rates, and reduced immigration. This new report from the Center for the U.S and Mexico offers recommendations to address the industry’s needs, including authorizing more migrant workers through limited-term visas and promoting construction skills and careers to young people.

This report explores the many challenges in securing minerals and materials for evolving energy needs. From lengthy project timelines to China’s control of supply chains, these obstacles are creating a multifaceted and uncertain energy landscape — and a vast range of possible energy futures.

Energy transitions also connect to developments in natural gas and oil markets, both of which still receive significant attention from policymakers. Steven R. Miles explains that despite numerous challenges, global reliance on liquefied natural gas (LNG) has continued to expand. Thus, future trends will be shaped by trade dynamics, geopolitical factors, regulations, and U.S. policies. LNG is important for the global energy balance, and increasing demand for natural gas means the long-term outlook for U.S. LNG exports remains bright, despite the recent LNG permitting pause by the U.S. Department of Energy.

Despite its uncertain future in the context of energy transitions, oil remains the largest global energy source, and oil markets will continue to demand attention in the near term given their economic and geopolitical impacts. Mark Finley discusses global oil production, demand, and implications.

Mahmoud A. El-Gamal discusses the importance of U.S. monetary policy changes and oil markets. He highlights the relationships among interest rate movements, the behavior of traders, and oil price formation to argue the importance of watching Federal Reserve actions when analyzing the market for oil.

Farm labor shortages put pressure on the United States’ food security, the livelihoods of farmers and farmworkers, and the economies and identity of rural communities. In a new Center for the U.S and Mexico research paper, Alejandro Gutiérrez-Li, assistant professor at North Carolina State University, examines the crucial role played by Mexican immigrant farmworkers in putting food on American tables.

Fifty years after the 1973 oil embargo, Baker Institute Edward P. Djerejian Center for the Middle East and Center for Energy Studies hosted a conference to examine lessons learned from the embargo and their renewed relevance for today’s energy crises. Featuring remarks from His Royal Highness Prince Turki Al Faisal Al Saud, the conference also included expert panels with industry leaders, other former policymakers, and academics.

Legislative action on the ballooning federal deficit is long overdue. Fellow John W. Diamond proposes a new nonpartisan fiscal commission to bypass congressional inaction on reform.

OPEC+ cuts — including additional voluntary cuts, most importantly by Saudi Arabia — look set to significantly tighten the oil market this year.