Global Economy in 2008
The global economy is expected to grow 3.8 percent this year, compared with 4.7 percent a year earlier, the Peterson Economic Institute recently told The Wall Street Journal. Russia, Brazil and Australia are poised to continue prospering.

Fed Lowers Expectations for U.S. Economy
On Wednesday, Federal Reserve Chairman Ben Bernanke gave his most pessimistic assessment to date of the U.S. economy's outlook, strongly suggesting that a recession is likely. The outlook for U.S. growth has worsened since January and the possibility of a recession can't be ruled out, Bernanke said in a statement (via MarketWatch). In testimony before Congress, he also said the Fed projects slower global growth over the coming quarters.

Unemployment Rises
The unemployment rate rose from 4.8 to 5.1 percent in March, and non-farm payroll employment continued to trend down (-80,000), according to the latest numbers from the U.S. Department of Labor's Bureau of Labor Statistics (BLS). Over the past three months, payroll employment has declined by 232,000, the BLS reported on Friday. In March, employment continued to fall in construction, manufacturing and employment services, while health care, food services and mining added jobs. Average hourly earnings rose 0.3 percent over the month.

Manufacturing Contracted
The March 2008 Manufacturing ISM Report on Business, from the Institute for Supply Management, shows its index (48.6) was slightly better than February's (48.3) though still in the decline mode. February's reading of 48.3 was the lowest in almost five years since the index fell to 46.1 in April 2003. Production fell by 2 percent while prices increased by 8 percent and new orders contracted by 2.6 percent. (Read more)

U.S. Treasury Asked Chinese to Cut Import Duties
On Thursday, U.S. Treasury Secretary Henry Paulson called for closer cooperation on energy conservation and for Beijing to cut import duties on environmental technology, according to The New York Times. The U.S. and China are the world's top two oil consumers.

Consumers Plan to Cut Spending
The Discover U.S. Spending Monitor reached a new low in March as consumers grew even more concerned about the economy and their personal finances in the face of rising monthly expenses. The March Monitor fell to 85.1, down more than a full point from the previous month and lower by 11 points than just six months ago.

U.S. Automotive Sales Tank
Economic uncertainties kept U.S. buyers away from car lots in the first quarter as U.S. sales last month plummeted 12 percent for both domestics and imports from a year ago, posting the worst Q1 sales in years. Sales by the three Detroit companies are down 10.4 percent so far this year. Their combined market share in March was 48.4 percent, nearly a record low. Ford's sales were off 7.6 percent last month, and GM and Chrysler both reported declines of about 13 percent. Even Japanese automakers haven't been completely immune to the slide. (Read more)

Auto Assembly Trickles Away
"Automakers have slashed their second-quarter production plans for the U.S. and Canada to an annualized 12.7 million units — one of the lowest levels since the early 1990s," says the Scotiabank Group. "We estimate that the vehicle assembly capacity in the emerging nations (Brazil, Russia, India, China and Mexico) now totals more than 30 million units — roughly 36 percent of the global total and more than double the installed capacity of the U.S. and Canada."

U.S. Firms Trying to Raise Limits on High-Tech Visas
"U.S. business leaders are stepping up efforts to raise the limits, arguing that the nation is running short of the talent it needs to remain competitive," reports Agence France-Presse (via IndustryWeek): "A broad coalition of businesses, especially in the tech sector, are warning that the quota of 65,000 for the so-called H-1B visa program on April 1, is likely to be filled the first day submissions are accepted for the fiscal year starting October 1. If that occurs, employers seeking to hire skilled foreigners will have to wait for next year's application to hire people in October 2009." With demand for the prized work permits only increasing, the powers that be recently decreed that the lottery would accept all entries received in the first five business days.

NAM Meets Congress Head-On
The National Association of Manufacturers (NAM) has legally challenged the Honest Leadership and Open Government Act, says Manufacturing & Technology News. The issue in the lawsuit — NAM vs. Taylor — hinges on if NAM must disclose the names of members who pay more than $5,000 per quarter or $20,000 yearly. NAM contends that disclosure would "discourage companies and their employees from exercising their rights to participate in the political process." NAM claims that the new law violates the first amendment rights of its members "petitioning for redress of grievances, freedom of speech and freedom of association," according to NAM President John Engler.

Trucking Shutdown Did Take Place
Chatter late last month pointed toward a nationwide trucker shutdown to take place on April 1 — April Fools' Day. Apparently the shutdown did take place for some owner-operators, who in spots across the country parked their trucks or slowed highway traffic in protest of diesel prices, Logistics Management reports. Some owner-operators clearly decided to shut down, though it is unclear how many and for how long. Interstate disruptions were reported in a scattered collection of cities, including Chicago, Tampa, Atlanta and on the New Jersey Turnpike. In some cases, drivers dropped below the minimum and were ticketed. No single organization seemed to be in charge.

Deep Water No Longer Off Limits to Oil Drillers
The amount of oil pumped from deep-water fields will nearly double between 2005 and 2010, to about 11 million barrels a day, says the U.S. Energy Information Administration. Douglas-Westwood, a consulting firm, told The Wall Street Journal that capital spending on deep-water oil will rise to $25 billion annually by 2012, nearly double the figure for 2003.

No More Rocky Mountain Highs for the Wayward?
Buttressed by local advocacy groups and criticized by a Colorado business organization, a proposed measure would make business executives criminally responsible if their companies run afoul of the law, says The New York Times. It would also permit any Colorado resident to sue the executives under such circumstances. Proceeds from successful suits would go to the state. If passed by voters in November, the proposal would leave top business officers having unprecedented individual accountability.

Chrysler Introduces Online Suggestion Box
Chrysler LLC has created an online suggestion box for customers who have ideas on how the automaker can improve its offerings. Chrysler's goal is to engage customers and gain their insights into product features and technologies. The new Online Customer Advisory Board initiative is accessible at www.chryslerllc.com/en/chrysler_listens/. The Web site provides customers with a box where they can offer suggestions and a form where they can enter their name and e-mail address to become Advisory Board members.