The Wall Street Journal - 13 07 2020 PDF
Preview The Wall Street Journal - 13 07 2020
UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws ADVERTISEMENT Meet our new, easy-to-use trading platform: thinkorswim® Web. LearnmoreonpageB10. **** MONDAY, JULY 13, 2020 ~ VOL. CCLXXVI NO. 10 WSJ.com HHHH $4.00 Lastweek: DJIA 26075.30 À247.94 1.0% NASDAQ 10617.44 À4.0% STOXX600 366.83 À0.4% 10-YR.TREASURY À 11/32, yield0.633% OIL $40.55 g$0.10 EURO $1.1301 YEN 106.92 Poland’s Presidential Vote Is Too Close to Call U.S. Cases What’s Jump, Hit News A Record Business&Finance In Florida Analogisintalksto Virus’sspreadbeyond buyrivalsemiconduc- Sunbeltleadsexperts troorugmhalyke$r2M0abxililmionfoirnwhat STOCK towarncrisisrisks R wmoeurglderbdeeoanlseoofftthheeyleaarrg.eAs1t HUTTE turninguncontrollable S Y/ (cid:2)leaDdiesrasgarteethmeeFnetdsabnedtween AGENC BAYNDKJATEENNKIIFNEGRCALFAS Treasuryslowedthestart OTO oinfitthiaetiirveflafogrshsimpallelnadnidng RESSPH topNpeewd 1c5o,0ro0n0aviinruFsloinrifdeac,tiothnes midsizebusinesses.A1 ANP largestone-dayincreaseinany (cid:2)Chinaisn’texpectedto OPE statesincethestartofthepan- R pfroowmerthaegcluorbraelnrteeccoovneorymic OT/EU dsteamteics,—winhcilleumdionrgethsaonmhealftUh.aSt. M downturnthewayithelped MO avoidedasignificantsurgeinthe underpinareboundfromthe RZ spring—were reporting steady O 2008-09financialcrisis.A1 ZEG climbsinnewcasesonSunday. (cid:2)Chatham,thehedge-fund GR The number of daily infec- TIGHTRACE:PolesvotedforpresidentinthevillageofBukowinaTatrzanska.LateSunday,exitpollsshowedconservative, tions in the U.S. surpassed manager,wonabankruptcy populistincumbentAndrzejDudaleadingbyathinmarginagainstliberal,pro-EuropeWarsawmayorRafalTrzaskowski.A8 60,000forathirdconsecutive auctionforMcClatchy,ending dayonSaturday,afterreaching 163yearsoffamilyownership a record of more than 66,000 forthenewspaperchain.B1 cases the previous day, data Fed-Treasury Divide Delayed (cid:2)MultiPlanismergingwith compiled by Johns Hopkins aspecial-purposeacquisition Universityshowed. companyinan$11billiondeal The 15,299 new cases in thatwilltakethehealth-care- Florida on Saturday repre- servicesproviderpublic.B1 Lending Plan for Businesses sented an uptick of about nearly5,000overFriday’snum- (cid:2)Thecomingearnings bers.Thestate,whichhasseen seasonposesabigtestfor a surge in cases in recent investorsandanalysts, weeks, hadn’t topped 12,000 whosaytheyareflying newcasesinanydaysincethe blindlikeneverbefore.B1 BYNICKTIMIRAOS their$600billionMainStreet Treasury,whichhasputup went through multiple revi- startofthepandemic.Califor- (cid:2)ThebiggestU.S.banks ANDKATEDAVIDSON LendingProgramtohelpsup- $75billiontocoverlosses,re- sionsandopenedforbusiness nia, Texas, and Arizona re- arebracingforahitto port businesses through the sistedrecentchangestorelax thispastweek.AsofWednes- ported near-record daily quarterlyprofitsfromtheir Disagreements between early stages of the coronavi- loanterms. day, it hadn’t purchased any Covid-19casesonSaturday. lendingoperations.B9 leadersattheFederalReserve ruspandemic. Thedisagreementsoverrel- loans. Other states across the (cid:2)Ubisoftsaidtwomore and Treasury Department in Fed officials generally fa- ativelynarrowdesignissuesre- SomeFedofficialsprivately countrywerebeginningtosee seniorexecutiveshaveleft recent months slowed the voredeasiertermsthatwould flectbroaderphilosophicaldif- have voiced frustration that significant rises in new infec- thegamemakeramidanin- startoftheirflagshiplending increase the risk of the gov- ferencesoverwhattheprogram PleaseturntopageA2 PleaseturntopageA6 ternalinvestigationintoal- initiativeforsmallandmidsize ernment incurring losses, istryingtoaccomplishandhow legationsofmisconductand businesses,currentandformer while Treasury officials pre- much risk the government (cid:2)Viruscloudsoutlookfor (cid:2)DeVosbacksTrumponpush inappropriatebehavior.B4 governmentofficialssaid. ferredamoreconservativeap- shouldtakeasaresult. earnings.........................................B1 toreopenschools....................A3 Thedifferencescenteredon proach, people familiar with Theupshotisthatthepro- (cid:2)Banksbraceforlendinghits (cid:2)Infectionsacceleratein World-Wide howtocrafttheloantermsof theprocesssaid. gram, made public in March, toprofits......................................B9 Sunbeltnursinghomes........A6 Suburbs Get Second China Isn’t Poised to Propel (cid:2)Newcoronavirusinfec- tionstopped15,000inFlorida onSaturday,thelargestone- Look in Pandemic dayriseinanystatesince Globe’s Economic Recovery thestartofthepandemic, whilemorethanhalfofU.S. stateswerereportingsteady increasesinnewcases.A1 (cid:2)Grahamsaidhewould BYEUN-YOUNGJEONG Percentageofeconomiesinrecessionaroundtheworld Connecticutdrawscitydwellersinsearchof callMuellertotestifyabout ANDTOMFAIRLESS 100% space,givinghopetofinanciallytroubledstate theRussiaprobeadayafter theex-specialcounselde- Gettingtheglobaleconomy fendedhisinquiryandthe backonitsfeetwon’tbeeasy. 80 BYJOSEPHDEAVILA statefaredworseduringthe relatedconvictionofTrump But it will be even tougher ANDJONKAMP post-2009economicexpan- adviserStoneinprint.A4 withoutmorehelpfromChina, 60 sion. (cid:2)TheSupremeCourt’slat- the locomotive that powered WESTON,Conn.—Ittooka NowNewYorkersareflee- esttermboretheimprintof recoveries from the world’s 40 globalpandemicandasevere ingacityhard-hitby ChiefJusticeRoberts,who lasteconomicemergency. economicdownturntodo Covid-19,includingforCon- hasbeenadeptatbuilding During the 2008-09 finan- 20 whatonceseemedimpossible: necticut’spastoraltowns,giv- shiftingcoalitions.A4 cialcrisis,China’ssoaringde- maketheConnecticutsuburbs ingoneofthenation’smost mand for raw materials and coolagain. troubledstatesaglimmerof (cid:2)Law-enforcementofficials other goods boosted growth 0 Connecticutstumbledin hope. inseverallargeU.S.citiesare acrosstheworld,underpinning 1900 1950 2000 recentdecadesonabackfir- MovesfromNewYorkCity wrestlingwithasharprisein reboundsinplaceslikeBrazil ingbetthatpeoplewantedto toConnecticuthavemore violentcrime,withsomelo- andGermany.Somecountries, Ninoctlued:eRsec1e8s3seiocnosnodmefiiense,dwaisthansoamnenuvaalrciaonncterabcytiyoenairn.percapitaGDP;2020areestimates.Sample liveinsmalltowns.Instead, thandoubledfromtheprior calessettohavetheirmost like Australia, avoided reces- Source:WorldBank youngfamiliesandprofes- yearsincethecity’sshutdown violentsummersinyears.A3 sionalmostentirelybecauseof sionalsrushedtocitieslike beganinMarch,accordingto (cid:2)EducationSecretaryDe- tradewithChina. hit much harder than in China is showing more re- nearbyNewYorkandBoston. movingcompanyFlatRate Vosspokeonairinsupport China isn’t poised to help 2008-09,limitingitsabilityto straint on stimulus spending Earlythisyear,Connecticut Moving.Home-rental oftheadministration’sview as much this time. Despite liftothernationsfromreces- compared with past down- founditselfslidingintoanew searcheshavesurged,and thatchildrenneedtoreturn signs of a solid rebound re- sionpromptedbythecorona- turns.Itisalsomoreself-suf- recessionhavingneverrecov- privateschoolssaytheyhave toschoolinthefall.A3 cently, its economy has been viruspandemic. PleaseturntopageA8 eredfromthelastone.No PleaseturntopageA10 (cid:2)IranandChinaareseek- PERSONAL ingtocementawide-rang- Filing Solo: Do-It-Yourselfers Analog Devices Seeks ingpartnershipthatwould JOURNAL. deflectU.S.economicpres- Cherish Tax Day Challenge sureandeaseTehran’s Rival for $20 Billion globalisolation.A8 i i i (cid:2)Hundredsofthousands Armed with only calculators, the brave ofpeoplevotedinprima- riesheldbyHongKong’s go mano-a-mano with IRS forms BYCARALOMBARDO Maxim shareholders would ownabout30%ofthecompany, pro-democracycamp.A8 SemiconductormakerAna- whichwouldbevaluedatjust BYLAURASAUNDERS causeofachangeinthelawor log Devices Inc. is in talks to under $70 billion including CONTENTS Outlook.......................A2 ashiftinherincome.Thisyear buy rival Maxim Integrated debt,oneofthepeoplesaid. ArtsinReview...A15 PersonalJournalA11-14 Most Americans are horri- thatwasForm8995,forclaim- Products Inc. for about $20 There has been a flurry of BusinessNews.......B3 Sports........................A16 Crossword..............A16 Technology...............B4 fiedbytheideaofdoingtheir ing a deduction for “pass- billion,inwhatwouldbeone activityinthesemiconductor HeardonStreet...B10 U.S.News.........A2-4,6 owntaxes,withouthelpfroma through” businesses such as ofthelargestmergerdealsof industry as chip makers seek Markets......................B9 Weather...................A16 professionalorcomputersoft- partnerships, added by Con- theyear,peoplefamiliarwith scaleandexpandtheirproduct Opinion..............A17-19 WorldNews.......A8-9 ware.NotCatherineFray. gressinits2017taxoverhaul. themattersaid. portfoliosinaworldinwhich CAREERS& Ms.Frayisexcitedwhenfil- Ms.Fraywasfascinatedbyits AnalogandMaximaredis- everyday items from cars to > ing season opens in January. 1½-pageflowchartthatalmost cussinganall-stockdealthat washingmachinesareincreas- LEADERSHIP Sheeagerlyawaitsthearrival seemeddesignedtooverwhelm couldbecompletedassoonas ingly incorporating chips to ofeachnewdocument,suchas filersdoingtheirowntaxes. Monday, though discussions linktotheinternet. Switchingjobs a W-2 or 1099 form, to pore “I actually enjoy doing my couldstillfallapart. Maxim’s semiconductors inthecoronavirus overitsdetails. taxreturn.Iliketodigthrough Maxim’s current market are used in a variety of set- s2020DAollwRJigohntessR&esCeormvepdany,Inc. Aspecialtreatiswhenshe the rules of big complex sys- valueisabout$17billion. tingsincludingindustrial,au- economyA11 gets to tackle a new form be- PleaseturntopageA10 Shouldadealcometogether, PleaseturntopageA4 UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws A2|Monday,July13,2020 THEWALLSTREETJOURNAL. **** U.S. NEWS THE OUTLOOK | ByJoshMitchell ECONOMIC School Is Shaky Refuge in This Crisis CALENDAR Tuesday:Chinaisexpectedto reportthatitstradesurplusheld Inpastre- Collegeenrollmentsoaredduringthelastrecession,helping Thoseeffortsmayhave taughtonlinethisfalltopre- roughlysteadyinJune.Econo- cessions,the Americanslearnnewskillswhilealsopushingupstudent helpedraiseenrollmentat ventthespreadofthevirus. mistsareforecastingayear- U.S.highered- debtlevels. collegesanduniversities, Somehavesaidtheywill over-yeardropinimports. ucationsys- whichjumpedby2.8million, moveentirelyonline.The Eurozoneindustrialoutputin NumberofstudentsatU.S.collegesanduniversities* temhas or15%,to21million,between AmericanCouncilonEduca- Mayisexpectedtobeupfrom servedasa 20million 2007and2010,accordingto tionsaidthisspringthaten- April’srecorddrop,whileleaving bufferofsortsbyabsorbing EducationDepartmentfigures. rollmentcouldfall15%asa productionlowerthanitwasbe- RECESSION unemployedworkers.Thepe- 15 Theabilityofworkersto result.Moody’sInvestorsSer- foregovernmentsimposedwide- culiaritiesofthecoronavirus- learnnewskillscouldbecru- vicesaiditexpectsenrollment spreadlockdownsinMarch. inducedrecessionpresentob- cialifunemploymentremains torise,butthatfamilieswill TheU.K.releasesitsestimate 10 staclestocollegesplayinga elevatedforalongtime. chooselower-costoptions. foreconomywideoutputfor similarrolethistimearound, Whilethejoblessratefellto “Atthistimethequalityof May.Itisoneofthefewcoun- 5 someeconomistssay. 11.1%inJunefrom14.7%in thatdegreeisreallyuncer- triestopublishamonthlyesti- Forone,itisunclearhow Aprilaspartsoftheeconomy tain,”Mr.Looneysaid.“I mateofgrossdomesticprod- manycollegesanduniversi- 0 startedtoreopen,17.8million don’tthinkpeoplewanttogo uct,andthelatestfiguresare tieswillreopenortowhat 1970 ’80 ’90 2000 ’10 workersremainedunem- andtakeonlineclasses. expectedtoshowtheeconomy extent,orhowmanypeople ployed,LaborDepartment They’renotgettingthecol- regainedmuchoftheoutput TotalU.S.householddebt Shareoftotalthatwas willdecidetoenroll.Many datashow.Another8.2mil- legeexperience.” lostinApril. outstanding student-loandebt laid-offworkersmightlack lionwereoutofthelabor Still,for-profitcolleges, U.S.consumerpricesareex- accesstohigh-speedinternet Mortgage Creditcard forceentirelyeventhough whichpioneeredtheuseof pectedtohavepickedupalittle totakeonlinecourses.Itis Autoloan Studentloan theywantedtowork. onlinecoursesintheearly inJuneasgasolinepricesin- alsounclearhowlongunem- $12.5trillion 12.5% Onebigquestionaboutthe 2000s,maybeapopularop- creased,theeconomyreopened ploymentwillremainele- currentrecessionisjusthow tion.Earningsreportssug- anddemandforgoodsandser- vated,andwhetherstudents manyofthejoblosseswillbe gesttheirenrollmentrosein vicesrose.Butinflationpres- 10.0 10.0 willacquiretheskillsthey permanent,forcingworkers thefirstthreemonthsofthe sureswilllikelyremainmuted. needinthepost-Covidjob toacquirenewskillssothey year,saidJeffreySilber,a Wednesday:TheBankof market. 7.5 7.5 canfindworkinanother managingdirectoratBMO Japanissettoreleaseapolicy W companyorindustry.In CapitalMarkets. decision.TheBOJisexpectedto orkerswholosejobs 5.0 5.0 June,thenumberofworkers Thatpointstoapotential standpatasitwaitstoseethe inarecessionoften reportingbeingpermanently riskforworkersandthe effectsofitsrecentlyintroduced sufferconsequences 2.5 2.5 laidoffrosesharplyto2.9 economy.Highereducation measurestoprovidemoreliquid- thatreverberateforyears, million. maynotbebeneficialif ityacrosstheeconomy. throughlostwagesandde- W workerstakeondebtthey U.S.industrialproduction 0 0 laysincareeradvancement, orkerswithouta canillaffordtorepaytoob- likelycontinuedtoreboundin 2006 ’10 ’20 2006 ’10 ’20 researchshows.Enrollingin collegedegreehave taindegreesthatdon’tlead June,ledbytheautoindustry collegeandgraduateschool *Eachyearmarksfallsemester. beenhitthehardest towell-payingjobs. andothermanufacturersthat canhelpmitigateorover- Sources:U.S.EducationDepartment(students);FederalReserveBankofNewYork(debt) andstandtobenefitthemost A2015paperreleasedby rampedupoutputascoronavi- comethatdamage,asnewly fromgainingnewskills.Jobs theBrookingsInstitution rus-relatedrestrictionseasedand acquiredskillsgiveworkers tration’sTreasuryDepart- InaFebruary2009ad- heldbyworkerswithonlya showedthattheboominen- demandperkedup. greaterearningpotential. ment. dresstoCongress,President highschooldiplomaandno rollmentduringthelastre- Thursday:China’seconomyis Andabettereducatedlabor Duringthe2007-2009re- ObamaaskedeveryAmerican collegeexperienceweredown cessionandtheearlypartof expectedtoshowareturnto forcebenefitstheeconomy, cessionandsubsequentre- tospendatleastoneyearin by5.5millioninJunefrom therecoverywasdrivendis- growthforthesecondquarter. boostingproductivityand covery,theObamaadminis- collegeorcareertraining. February,LaborDepartment proportionatelybystudents EconomistspolledbyTheWall growthpotential. trationmadehigher The2009stimuluspackage figuresshow.Jobsheldby atopen-admissionsschools StreetJournalareforecastinga “Whentherearefewjobs educationacentralthemeof increasedthemaximumPell workerswithafour-yearde- suchascommunitycolleges 2.6%year-over-yeargainforGDP, andtheeconomy’snotdoing itsstrategytohealtheecon- grant,whichhelpsfinancially greefellby1.1million.The andfor-profittradeschools. followinga6.8%contractionin well,that’sthebesttimeto omy.Officialsbelievedthe strappedstudentspayfortu- unemploymentrateforthe Suchstudentswerefarmore thefirstquarter. gobackandgetacollegede- strategywouldliftgrowthin ition,andprovidedatax firstgroupwas12.1%last likelytodropoutanddefault U.S.retailsaleslikelyin- gree,”saidAdamLooney,a thelongtermwhilealsopro- creditfortuition.Stateswere month,comparedwith6.9% onstudentloansthanthose creasedagaininJunedespitere- nonresidentseniorfellowat vidingashort-termboostas encouragedtotelljobless forcollegegraduates. whoattendednonprofitand newedconsumercautionlatein theBrookingsInstitutionwho studentsspentmoneyontu- workerstheycouldgetfed- Somecollegeshavesaid publicfour-yearcolleges,ac- themonthascoronaviruscases servedintheObamaadminis- itionandlivingexpenses. eralaidtogotocollege. mostorallcourseswillbe cordingtothestudy. roseinsomestates. U.S.WATCH EPA Holds To Its Cap OKLAHOMA CALIFORNIA Severe Storms Leave Fire, Explosion on On Ozone Thousands in Dark Navy Ship Injures 21 ThousandsofOklahomaresi- Twenty-onepeoplesuffered Emissions dentswerewithoutpowerSun- minorinjuriesinanexplosion dayafterseverethunderstorms andfireSundayonboardaship rippedacrosspartsofthestate atNavalBaseSanDiego,mili- overnight. taryofficialssaid. BYTIMOTHYPUKO OklahomaGas&Electricre- Theblazewasreported portednearly27,000clients shortlybefore9a.m.ontheUSS The Trump administration werewithoutelectricitylate BonhommeRichard,saidMike planstoretainanationallimit Sundaymorningfollowing Raney,aspokesmanforNaval of 70 parts per billion for the stormsthattoredownbranches SurfaceForce,U.S.PacificFleet. pollutant ozone, the standard andknockedoutpowerlines. Seventeensailorsandfourci- set by the Obama administra- Outagesweremostwide- vilianswerehospitalizedwith tion five years ago after busi- spreadaroundOklahomaCity non-life-threateninginjuries,Mr. ness groups fought tougher andthenearbycommunityof Raneysaidinabriefstatement. SS standards. Norman,althoughpeopleacross Hedidn’tprovideadditionalde- RE The Clean Air Act requires P anowrtihdeeasswtaatlshoolfosttheposwtaetre.’s tailTs.hecauseofthefirewasun- OCIATED tAhgeenEcnyvitroonremveienwtalozPorontee,cstoioont Thestormsincludedwindsof derinvestigation.Itwasn’tim- SS andahandfulofothernamed A upto70mphandevenstronger mediatelyknownwhereonthe Y/ pollutants every five years, O gusts,accordingtotheNational 840-footamphibiousassault OR with a mandate to consider P WeatherService.Noinjuries vesseltheblastandthefireoc- S onlythelatestscienceonpub- NI havebeenreported. curred. DE lic health and not the cost of —AssociatedPress —AssociatedPress AlargeplumeofsmokerosefromtheUSSBonhommeRichardatitshomebaseinSanDiegoonSunday. implementation. EPA Administrator Andrew Loan Plan Wheelerplanstoannouncethe promises.” The Main Street program Treasury officials focused on tobe“unusualandexigent.” decisiontoretaintheexisting Fed and Treasury officials aims to fill a gap in govern- how changes would influence Ten years ago, Congress standardonMonday. Slowed said they have continued to ment relief, fitting between near-termprofitsorlossesun- curbed these emergency-lend- In a statement obtained by workconstructivelyonthepro- the Paycheck Protection Pro- deralesspessimisticforecast. ing authorities in response to The Wall Street Journal, Mr. grams.TreasurySecretarySte- gram of forgivable loans for Treasury officials believe criticismofhowtheFedexer- Wheelersaidthatnationalav- By Divide venMnuchin,FedChairmanJe- businesseswith500orfewer theirforgivablesmall-business cisedthosepowerstoaddress erage ozone concentrations rome Powell and their top employeesandaseparateFed loans,withtheFed’scorporate- the looming collapse of Bear have dropped 25% between lieutenantsspeakfrequently. programtobuydebtissuedby debtbackstops,keptthebank- StearnsCos.andAmericanIn- 1990and2019.Theyfellslightly Mr.Mnuchinsaidtheback- largecorporations. ing system running well. As a ternationalGroupInc.in2008. again last year after flatlining and-forthwaspartofanitera- The Treasury agreed in result, Mr. Mnuchin said, they Lawmakers required lending since2013,EPAdatashow. ContinuedfromPageOne tive,professionalprocessand June to extend the term of aren’t concerned that fewer initiativesbejointlyundertaken Both the American Petro- painstaking negotiations didn’treflectdisagreements. MainStreetloanstofiveyears, firmsmightusetheMainStreet withtheTreasurysecretary. leumInstituteandNationalAs- wasted precious weeks in AstheFedhasmovedfrom fromfour. program than anticipated in TheFedisalsojoiningwith sociationofManufacturershad launching the program, ac- purchasing supersafe assets Loanswillnowdelayprinci- March and instead see it as a theTreasurybecausethecen- urged the Obama administra- cording to people familiar like Treasurys to “corporate palpaymentsfortwoyears,in- fallback if the economy wors- tralbankdoesn’tbelieveitcan tiontokeepthepreviousstan- withthematter. bonds and loans, you get into stead of just one. The loans ens.Fedofficialshavepushedto incurcapitallosses,limitingits dardof75partsperbillion. Oneofthreeloanproducts evenmorelevelsofcomplexity don’t require interest pay- reach more borrowers with ability to lend against all but Ground-level ozone comes under the program almost that required considerable mentsforthefirstyear. changes that would generally thesafestassets. from manufacturing plants, didn’tmaterializeduetoTrea- thoughtbetweentheTreasury Changesthatappearedfairly provideforsmallerloans,more Toturbochargethelatestef- utilitiesandcarsandcanexac- suryreservations. andtheFed,”Mr.Mnuchinsaid. minorfortheFedlookedmore refinancing, longer maturities forts,Congressprovided$454 erbate a range of respiratory The nature of the compro- TheFedhastakenthelead costlytoTreasuryofficialsbe- andeasierrepaymentschedules. billioninMarchtotheTreasury problems,includingasthma. mises between the Fed and analyzing,designingandpro- cause of different approaches The Fed is using special tobackstoplossesinFedlend- The2015updatereducedthe Treasury have only recently posing terms for the pro- modeling losses. Fed officials powers granted by Congress ingprograms.Withindays,Mr. ozone limit from 75 parts per come into focus, pulling back grams.TheTreasurythenap- evaluatedchangesbylookingat andtheHooveradministration Mnuchinauthorized$195billion billion,whichhadbeensetby thecurtainononeofthemost proves, vetoes or suggests how much larger the losses duringtheGreatDepressionto for five different lending pro- theGeorgeW.Bushadministra- important partnerships in differentterms. mightbeinaseveredownturn. makeloansintimesdeclared grams,includingMainStreet. tionin2008. globaleconomicpolicy-making. The terms of the program CORRECTIONS (cid:2) AMPLIFICATIONS werefirstmadepubliconApril THEWALLSTREETJOURNAL 9andhavebeenrelaxedtwice (USPS664-880)(EasternEditionISSN0099-9660) (CentralEditionISSN1092-0935)(WesternEditionISSN0193-2241) toincludemorepotentialbor- rowersandflexiblerepayments. Chinaclosedtensofthou- Journal Report incorrectly said she is the sole Black fe- Editorialandpublicationheadquarters:1211AvenueoftheAmericas,NewYork,N.Y.10036 PublisheddailyexceptSundaysandgenerallegalholidays. The program began operating sandsofmoviescreensonJan. gave performance as -12.3%, maleCEOofapubliclytraded PeriodicalspostagepaidatNewYork,N.Y.,andothermailingoffices. thismonththroughtheFederal 23 due to coronavirus out- -19.6%, -7.3%, and 6.2%, re- U.S. company and misstated Postmaster:SendaddresschangestoTheWallStreetJournal, ReserveBankofBoston. break concerns. A Business spectively. her quote as “against racial 200BurnettRd.,Chicopee,MA01020. “Wouldtheprogrambeex- News article Tuesday incor- equalityandforsocialjustice.” AllAdvertisingpublishedinTheWallStreetJournalissubjecttotheapplicableratecard,copiesof actlythewayIwouldhavede- rectlysaidthecountryclosed LisaWardellisamongthe whichareavailablefromtheAdvertisingServicesDepartment,DowJones&Co.Inc.,1211Avenueof theAmericas,NewYork,N.Y.10036.TheJournalreservestherightnottoacceptanadvertiser’s signed it, or exactly the way tensofthousandsofcinemas. fewBlackfemaleCEOsofpub- Notice to readers order.Onlypublicationofanadvertisementshallconstitutefinalacceptanceoftheadvertiser’sorder. someoneelsewouldhavede- licly traded U.S. companies. Wall Street Journal staff LetterstotheEditor:Fax:212-416-2891;email:[email protected] signedit?No,butweallneed The performance of mid- She also urged Adtalem em- members are working re- Needassistancewithyoursubscription? toworktogether,andwehave cap core mutual funds for ployees in a companywide motely during the pandemic. Byweb:customercenter.wsj.com;Byemail:[email protected] Byphone:1-800-JOURNAL(1-800-568-7625) worked together quite effec- Marchwas-20.3%,anditwas message to lift their voices For the foreseeable future, Reprints&licensing: tively,” Boston Fed President -28.8% for the first quarter, “against racial inequity and pleasesendreadercomments Byemail:[email protected] EricRosengrensaid. -20.9%foroneyear,-0.8%for for social justice.’’ The Per- onlybyemailorphone,using Byphone:1-800-843-0008 “Anytimeyouhaveanego- five years. The Mutual-Fund sonal Board of Directors col- the contacts below, not via WSJbackissuesandframedpages:wsjshop.com tiation, there are going to be YardstickstableintheApril6 umn on Saturday incorrectly U.S.Mail. Ournewspapersare100%sourcedfromsustainablycertifiedmills. compromisesthataremade,” he said. “I expect that we’ll ReaderscanalertTheWallStreetJournaltoanyerrorsinnewsarticlesbyemailingwsjcontact@wsj.com GOTATIPFORUS?SUBMITITATWSJ.COM/TIPS continuetohavetomakecom- orbycalling888-410-2667. UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws THEWALLSTREETJOURNAL. Monday,July13,2020|A3 **** U.S. NEWS Major Cities See Violent Crime Soar BYJULIEWERNAU are backing away from some ANDJOEBARRETT kinds of petty-crime arrests thatgivethemahigherprofile AL CHICAGO—Law-enforce- onthestreet,hopingtoquell RN ment officials in several large tensions. U JO U.S.citiesarewrestlingwitha “It’s a lot more dangerous REET sharp rise in violent crime to become a police officer,” ST amidanationaldebateoverthe saidRayKelly,NewYorkCity’s ALL role of police, calls to reduce former police commissioner. W HE police-departmentbudgetsand “What you see is a backing T growingfiscaltroubles. away.” R FO Somecitiesareontrackto NewYorkCitydisbandedits N O have their most violent sum- anticrimeunitofplainclothes MELT mersinyears. officers on June 15, part of a RA In Milwaukee, homicides $1 billion reduction in the D AU areup37%sofarthisyear,on city’s police budget. The city PatientscreeningatAtlanta’sGoodSamaritanHealthCenteronFriday.ThecharitableclinicisoperatingaCovid-19testingcenter. pacetobreaktherecordof167 logged205shootingsinJune, in 1991, which included 16 the highest for the month Health Clinics Shut in Needy Areas murders by convicted serial since1996.Policecitedthere- killer Jeffrey Dahmer. Homi- lease of some prisoners from cides so far this year in Chi- RikersIslandamidcoronavirus cagoareaheadofthepaceof concernsandbailchangesthat BYSTEPHANIEARMOUR freeclinicscouldresultinsome funding comes in part from highest hospitalization rate 2016,whichmarkedthecity’s wentintoplaceearlierinthe patients being turned away, federal subsidies established with221.2hospitalizationsfor highesttallysince1996. year. Low-cost and free health health-clinicofficialssaid. undertheAffordableCareAct, thevirusper100,000people, InNewYorkandLosAnge- In Chicago, the city an- clinicsthatservelargeminor- These challenges, taken to- with$4billionforfiscal2019. followedbyBlackpeoplewith les, which have seen falling nouncedanewspecializedunit ityandlow-incomecommuni- gether, could further limit ac- Federal stimulus legislation 178.1 hospitalizations per numbers of homicides for targetingviolence-proneneigh- tiesarebeinghithardbythe cesstothehealth-caresystem hasprovidedmorethan$1bil- 100,000 people, according to years,killingsthisyearareup borhoodstocombatasurgein coronavirus pandemic, with for minority groups, com- lion for the centers, and dis- data released in June by the 23% and 11.6%, respectively. shootingsandhomicides.There nearly 2,000 health-center poundingthetollthepandemic cussionshavebeenunderway Centers for Disease Control KansasCity,Mo.,hasrecorded were27homicidesinChicago sites closing temporarily and isalreadytakingonBlack,His- foradditionalsupport. andPrevention. 99 killings since January, far in the week ended July 5, a othersworriedabouttheirfi- panic, Native American and Legislation also extended Hispanics had 160.7 hospi- outpacing any record for the 125%increasefromayearear- nancial futures, trends that AlaskaNativepopulations. federal funding through the talizationsper100,000people, firstsixmonthsoftheyear. lier, according to Chicago Po- riskwideningracialdisparities Thepandemicisalsoadding end of November. Some Re- whilenon-Hispanicwhitepeo- Policedepartmentsalready inhealthcare. urgency to efforts by public- ple had 40.1 hospitalizations face budget cuts around the Year-to-datechangein Federallyfundedcommunity healthleadersandlawmakers per100,000people. U.S., the result of falling tax certaincrimes healthcentersthatservemany who want more funding and Thecoronavirus Thedatashowlower-income revenuesfrompandemiclock- Shootingincidents Homicides ofthesepeoplehavetemporar- communityoutreachtoaddress peopleathigherriskofhospi- downs.Covid-19hasalsomade pandemichastaken ily shut many sites, in some inequitiestoreducethespread talizationforavarietyofrea- itdifficultforofficerstosafely Milwaukee cases because they shifted to ofthevirusinvulnerableracial adisproportionate sons.Minoritiesaremorelikely conductcommunityoutreach, virtual visits or for a time andethnicpopulations. thanwhitestobeemployedin sayexperts,worseningpolice- tollon minorities. Philadelphia ceased operations because of “Thefightforhealthequity essential jobs and have less communityrelations. staffing shortages. Some cen- shouldneverbeanafterthought ability to telecommute or be Community groups ac- ters have also had to scale when we devise policy,” said paid time off when sick, ac- knowledgethecrimeincrease NewYork backtraditional,revenue-mak- Rep.RaulRuiz(D.,Calif.),aphy- cordingtodatafromtheEco- butsaymoreaggressivepolic- ingprimarycareservicesdur- sician.“Weneedmajorreforms publicans such as Rep. Elise nomicPolicyInstitute. ing to combat it shouldn’t ingthepandemic.Additionally, onaccesstocare.” Stefanik (R., N.Y.) pushed for Minorities are more likely comeattheexpenseofenact- Chicago clinicsthatofferfreeorchar- Dr.Ruizhaspushedtohave more funding for community thanwhitestolackhealthin- ing broader reform. “This is ity-based care are seeing a public-serviceannouncements health centers to be included surance, according to the De- not a quick fix,” said V.J. Atlanta surgeindemand,andmanyare aboutthecoronavirusdistrib- inthestimulus. partmentofHealthandHuman Smith, national president of concernedabouttheirfinancial utedinseverallanguages,for Hospitalization rates for Services Office of Minority Minneapolis-basedMadDads, futuresasdonationsdropoff. example, and said reopening coronavirusshowthedispro- Health,andlesslikelytohave a group that acts as a buffer 0% 20 40 60 Clinicsfacefinancialstrainas withoutsafeguardswillcause portionateimpactofthepan- aprimary-caredoctor,accord- between the community and Note:Year-to-datedatainMilwaukeeasofJuly highlevelsofjoblessnessleave disproportionate harm to demic on minorities. Among ingtoananalysisbytheKaiser policebytryingtode-escalate 7;inPhiladelphia,NewYorkandChicagoasof manypatientswithoutjob-pro- Black,LatinoandNativeAmer- racialandethnicgroups,non- FamilyFoundationofdatapro- violent situations. “The only July5;Atlanta,July4 videdhealthcare.Theresulting icancommunitiesandworkers. Hispanic American Indian or vided by the Centers for Dis- waytouniteacommunityisto Source:Cities’policedepartments surgeindemandforservicesat Community health-center AlaskaNativepeoplehadthe easeControlandPrevention. builditfirst.” Amidrevenueshortfallsand liceDepartmentdata.Twenty- calls to defund police, Art fiveofthekillingswereinthe DeVos Backs Push to Reopen Schools Acevedo,Houstonpolicechief heavilyBlackorHispanicSouth and head of the Major Cities andWestsides. ChiefsAssociation,saidcities Asiaha Butler—founder of are now slashing police bud- R.A.G.E.,theResidentAssocia- BYNATALIEANDREWS The issue has become the getswithoutplansinplaceto tion of Greater Englewood in ANDANDREWACKERMAN latest flashpoint over how reallocate funds or replace Chicago—saiddeployingmore besttounleashcitizensfroma functionstypicallyperformed officersisn’tthesolution.“The Secretary of Education lockdowndesignedtomanage by police. “You don’t tear city or police, they always Betsy DeVos took to the air- thepandemic’shealthrisks. downthebuildingyou’reliving throw out these initiatives wavestolendsupporttoPres- Republican Gov. Larry Ho- inuntilyouhaveanewbuild- withoutanyinsightandinput identTrump’spushtoreopen ganofMarylandsaidstudents ingtomoveinto,”hesaid. from the community. And schools,whileotheradminis- should return to their class- City leaders and law-en- guess what? The initiative trationandstate-levelofficials rooms only if it is safe to do forcement officials say the doesn’t work, and then they calledforcaution,astensions so. “I think everybody would monthsoflockdown,risingun- cometous,”shesaid. amongpolicymakersoverhow like to get our kids back to employment,moregunsonthe InPhiladelphia,thenumber S bruesstptaondmeamniacgsehtihftetcootrhoenanvai-- REUTER swcehoaolsloaswqaunitctkolydaosiwtaencdanm,abkuet smtraesestpraontedsttshoevefraltlhoeutGeforrogme ostfeagduinlyshinoctrevaicstinimgssihncaes2b0e1e4n, tion’seducationalinstitutions. UE/ surethatourkidsaregoingto Floyd killing helped create when1,047peoplewereshot. Ms.DeVos,speakinginmul- RQ beassafeaspossible,”hesaid conditionsformoreviolence. At the current rate, the city A tiple Sunday morning news AM onNBC.“We’renotgoingtobe “Thiswasaperfectstorm,” could have its highest total L shows,emphasizedtheTrump N rushedintothis.” said Milwaukee Police Chief since 2007. City officials re- VI administration’s view that KE Democratssaidtheadmin- Alfonso Morales. “We had a cently cut the proposed $760 children need to return to SecretaryofEducationBetsyDeVosofferedfewdetailsonsafety. istrationisrushingtoreopen seriesofeventsthatmanyof millionbudgetby$33million. schoolinthefall,stressingthe schools and not listening to usprobablyneverexperienced “We’veputsomuchstuffon risks to children’s education childrenweresenthomeover acrossthecountryneedtobe guidelinesissuedbytheCen- inourtime.” theirplate:homelessresponse, and well being by spending safetyconcerns.Thevirushas makingaplantodojustthat,” terforDiseaseandPrevention. At the same time, law-en- mental health, addiction re- too much time at home. The killedabout135,000Americans shesaidonCNN.“Wherethere “I think what we heard forcement officials say they sponse, these are not things secretary offered few details andhascontinuedtospread. are little flare-ups or hot from the secretary was mal- are weighing the risks of ag- they are best trained to re- on how to return to school The pandemic is widely spots,thatcanbedealtwith.” feasance and dereliction of gressively enforcing the law, spond to,” said Philadelphia safely. seen as posing a limited risk Mr. Trump has called for duty,” House Speaker Nancy concerned that a backlash MayorJimKenney.“Wedon’t Withonlyweekstogountil tochildren.Butlittleisknown schoolstostartclassesaspart Pelosi(D.,Calif.)saidonCNN fromactivists,protestersand necessarilyneedtorespondto thestartoftheschoolyearin about how readily the young of his push to reopen the on Sunday. “Going back to residentscouldtriggerattacks every call to service with a many states, the number of carry the virus and spread it country. Most policy makers school presents the biggest onpoliceorareplayoftheri- persontrainedwithagunand casesisnowmuchhigherthan toothers.“Whatwe’resaying share the goal of reopening riskforthespreadofthecoro- ots and looting that marked abadge.” it was toward the end of the is kids need to be back in schools, but worry about the navirus.Theyignoresignsand someoftheearlierprotests.In —BenChapman previous school year when school and school leaders costsandhealthimplications. theyignoregovernance.” somecases,officialssay,police contributedtothisarticle. Economics Journals Are Criticized for Neglecting Race Studies BYAMARAOMEOKWE tice a lack of papers in those linnBohren,AlexImas,Kareem mayedbyadecadelongreview journalsthataddress[race-re- Haggag and Devin Pope. Of processattopjournalsasshe Someeconomistssaytheir lated issues], then one could those105papers,58wereabout tried to publish a paper that field’s most prestigious jour- inferthatmaybethoseissues race, according to the econo- concludedethnicandpolitical nalshaven’tbeenparticularly arenotasimportant,”hesaid. mists’ working paper, which conflict may affect invention receptivetoscholarlyworkre- Someeditorsatthetopeco- looksathoweconomicresearch and economic growth over lated to race and discrimina- nomics journals defend their may sometimes miscategorize time. Her analysis made the A tion,effectivelymarginalizing trackrecords,butothersagree OT typesofdiscrimination. pointbylinkingmassviolence S suchstudiesandtheirauthors. theyneedtodomoretodiver- NE Samuel Myers, a professor againstAfrican-Americansbe- N Theresulthasbeentodis- sifytheirranksandthinkdiffer- MI andeconomistattheUniver- tween1870and1940toade- courageresearchonsuchtop- entlyaboutrace-relatedwork. OF sity of Minnesota, said the cline in patent rates among Y ics and limit the writers’ ca- The discussions come as SIT rate at which race- and dis- Blackinventors. reers,somepeopleinthefield the recent killing of George VER crimination-relatedpapersare Ms.Cooksaidrefereesob- say. That, in circular fashion, Floydwhileinpolicecustody UNI published is hindered in part jectednottoherfindingsbut limitsthediversityofthought hascastaspotlightonissues LisaCookcriticizedtopjournals’reviewprocesses,whileSamuel bythewaythefieldhastradi- tocertaindetailsandassump- at the major journals, whose ofracialinequality.TheAmer- Myerssaidtheeconomicsfieldplaysdownracialdiscrimination. tionallyviewedsuchresearch. tions included in the paper. editors serve as gatekeepers ican Economic Association, “One of the components of Shesaidtheyasked,forexam- fortheprofessionandwhose meanwhile, has said it wants prestigious—theAmericanEco- reviewbyso-calledrefereesand raceresearchintheeconomics ple,whysheequatedlynchings publicationsinfluencenational to improve the profession’s nomic Review, Econometrica, torevisionsbeforetheyareac- professionisthebeliefthatra- ofAfrican-Americanstoextra- economicpolicymaking. climate, after a survey re- the Journal of Political Econ- ceptedandpublished,aprocess cialdiscriminationdoesn’texist judicialkillings. “These journals are sup- leasedlastyearandotherde- omy,theQuarterlyJournalof thatcantakemonthsoryears. and that there are other rea- The comments “suggested posed to be trendsetters, velopmentsrevealedconcerns Economics and the Review of Between 1990 and 2018, 10 sons, other factors that could tomethattherefereesdidn’t they’re supposed to serve as about racial and gender dis- Economic Studies—each re- economics journals, including explaindifferencesin”outcomes understand U.S. history, so thebeaconforwherethedis- criminationinthefield. ceive roughly 1,000 to 2,000 thetopfive,published105em- suchasarrestandhomeowner- they didn’t understand the ciplineisgoing,”saidRodney The publication process is submissions a year and each piricalpapersfocusedontopics shiprates,Mr.Myerssaid. context,”Ms.Cooksaid. Andrews, associate professor highly competitive. The five typicallypublishseveraldozen suchasdiscrimination,biasand LisaCook,professorofeco- The paper was ultimately ofeconomicsattheUniversity journals widely considered in toaround100articlesayear. disparities, according to re- nomicsatMichiganStateUni- published in the Journal of ofTexas,Dallas.“Soifyouno- theprofessiontobethemost Papers are subject to peer search by the economists Ais- versity, said she became dis- EconomicGrowth. UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws A4|Monday,July13,2020 THEWALLSTREETJOURNAL. P W L C 10 11 12 H T G K R F A M 1 2 3 4 5 6 7 8 9 O I X X ** U.S. NEWS Senate Panel Will Call Mueller to Testify Movefollowsformer Trump’sbehalf,butdidn’tes- tablish a conspiracy between specialcounsel’sop-ed theTrumpcampaignandRus- defendingRussiaprobe sia.Intheop-ed,however,Mr. Muellernotedthattheinvesti- andStoneprosecution gationfoundthe“campaignex- pecteditwouldbenefitelector- BYREBECCABALLHAUS ally from information stolen andreleasedthroughRussian WASHINGTON—TheRepub- efforts.” lican chairman of the Senate Lawmakers in both parties Judiciary Committee said he accused the president of cor- wouldcallformerspecialcoun- ruption for commuting Mr. sel Robert Mueller to testify Stone’s sentence. House about his investigation into Speaker Nancy Pelosi (D., Ca- Russian interference in the lif.) said on CNN on Sunday 2016campaign,adayafterMr. that the level of corruption Muellerbrokenearlyayearof was“staggering.” publicsilencethroughanopin- In response to Mr. Trump, ionarticledefendinghisprobe HouseDemocratsplantointro- and the related conviction of duce legislation that says a TrumpadviserRogerStone. presidentcan’tcommute,par- “Apparently Mr. Mueller is RS donorofferclemencytoany- willing—and also capable—of UTE body who is convicted of a defendingtheMuellerinvesti- R/RE crime that affects the presi- gationthroughanop-edinthe PE dent’sbehaviorandhisculpa- P WashingtonPost,”Sen.Lindsey SKI bility. The legislation could Graham (R., S.C.), an ally of OE passtheDemocratic-controlled J PresidentTrump,saidSunday. RogerStonecelebratedoutsidehishomeFridayinFortLauderdale,Fla.,afterPresidentTrumpcommutedhis40-monthprisonsentence. House but is likely to go no- “DemocratsontheSenateJu- whereintheSenate. diciaryCommitteehaveprevi- cludedandnearlyayearafter tionwasbasedonlyonthelaw. Stoneasthetargetof“anille- release of emails stolen by Sen. Pat Toomey (R., Pa.) ously requested Mr. Mueller Mr.Muellertestifiedbeforethe Mr. Stone, in a case that gal Witch Hunt that should thoseintelligenceofficers. calledthecommutationa“mis- appearbeforetheSenateJudi- House Judiciary Committee stemmed from Mr. Mueller’s neverhavetakenplace.” Mr. Stone “remains a con- take,”thoughhedescribedthe ciary Committee to testify abouthisinvestigation—comes Russiainvestigation,wascon- SuchcriticismpromptedMr. victed felon, and rightly so,” Russiainvestigationas“badly about his investigation. That amidbipartisanbacklashover victed in federal court in No- Muellertodefendhisinvesti- Mr.Muellerwrote.“Wemade flawed.” requestwillbegranted.” Mr. Trump’s move Friday to vemberofmakingfalsestate- gationinanop-edpublishedin everydecisioninStone’scase, Under the Constitution, AspokesmanforMr.Muel- commute the prison sentence ments,witnesstamperingand theWashingtonPostonSatur- asinallourcases,basedsolely presidentshavepowertopar- lerdidn’trespondtoarequest of Mr. Stone, his longtime tryingtoimpedeacongressio- day,inwhichhewrotethathis onthefactsandthelawandin don and commute sentences forcomment.ThecallsforMr. friendandadviser. nalinvestigationintoRussian investigation was of “para- accordance with the rule of related to federal crimes. Mr. Mueller’stestimonyfromDem- While some Republicans election interference. He was mount importance” and de- law.” Trump’sgrantofclemencyto ocrats on the committee are have criticized the move, Mr. set to report to prison on scribedMr.Stoneasakeyfig- Mr. Stone has denied Mr.Stonemarksthefirsttime morethanayearold,aDemo- Grahamhasexpressedsupport Tuesdaytobeginservinga40- ureintheprobebecauseofhis wrongdoing. he has used his authority to craticaidenoted. for the decision and accused month sentence, before Mr. 2016 communications with Mr. Mueller’s investigation help one of his close associ- The request for testi- the Mueller investigation of Trump moved on Friday to Russian intelligence officers foundthatRussiamountedan ates. mony—16 months after Mr. beingpoliticallymotivated.Mr. lessenhispunishment. and his claim of having ad- extensiveefforttointerferein —NatalieAndrews Mueller’s investigation con- Muellerhassaidhisinvestiga- Mr. Trump described Mr. vanceknowledgeofWikiLeaks’ the 2016 U.S. election on Mr. contributedtothisarticle. Roberts Steers Court’s Fluctuating Coalitions BYJESSBRAVIN mentalrulingsgroundedinle- Texas law imposing burden- ANDBRENTKENDALL galprocedureandhistory.The somerequirementsonabortion chief justice’s opinions in- providers. But last month, he WASHINGTON—The Su- cludedcarefulprosegivingdef- castthedecidingvotetostrike preme Court closed a pivotal erencetoprecedentandinsti- downasimilarLouisianamea- annualtermlastweekbearing tutionalstability. sure,writingthathefeltbound the unmistakable imprint of Hisinfluenceonacloselydi- tofollowtheprecedentdespite Chief Justice John Roberts, vidednine-membercourtcame hisdisagreement. whoembracedtheroleofinsti- not through leading a static Thatdynamicwasalsoclear tutionalistashesoughttokeep blockofjusticesthrougheach on Thursday, the court’s final OL O thecourtabovethenation’sin- case but in building shifting day,whenthechiefjusticede- S/P tense partisanship during a coalitions.Hisswaymoderated livered7-2votesbrushingback MILLI timeofnationalupheaval. theappetiteamonghisconser- boththelegislativeandexecu- H Overthecourseof55cases vativecolleaguesformorede- tivebranches. LEA decided this year—involving finitivemovestotheright,but Thechiefjusticewroteboth UnderChiefJusticeJohnRoberts,theSupremeCourthasoftenproducedincrementalrulings. suchpoliticallysensitiveissues also brought liberal counter- opinions,inwhichherebuffed asaccesstoPresidentTrump’s partstothecenter,ratherthan House Democrats for over- pivotalroleinmanyofitsbig- Someconservativessaythe majority,hechoseaTrumpap- financial documents, gay beresignedtotheminority. reaching in their quest to re- gest decisions. Chief Justice chiefjusticesimplyisplayinga pointee, Justice Neil Gorsuch, rights, workplace discrimina- Taken together, the court’s view President Trump’s per- Robertsisnowthecourt’sme- differentkindofpolitics. todeliverthe6-3decisionre- tionandreligiousexemptions outputreflectedtheoverarch- sonalfinancesbutalsorejected dianjusticeaswellasitsfor- “John Roberts again pos- jecting Trump administration from providing contraceptive ingmessageChiefJusticeRob- the Republican president’s mal leader, an alignment the tures as a Solomon who will arguments that businesses coverage—thechiefjusticewas ertshassoughttodeliversince claim of absolute immunity courthadn’tseeninatleast80 saveourinstitutionsfrompo- werefreetofireemployeesbe- in the majority in all but two taking the helm in 2005: The fromastateprosecutor’sinves- years. liticalcontroversyandaccount- causetheyweregayortrans- decisions. judiciarystandsapartfromthe tigation of potential crimes The numbers bear out the ability,” Sen. Tom Cotton (R., gender. Chief Justice Roberts, a partisanshipthatconsumesits thoserecordsmightreveal. chief’sdecisiverole:Hewasin Ark.)saidlastmonth,afterthe Despite rulings that have GeorgeW.Bushappointeewho coequal branches of govern- “Theconstraintofprecedent the majority in nearly every chiefjustice,joinedbyfourlib- flusteredconservatives,many joinedthecourtwithastrong ment,Congressandthepresi- distinguishes the judicial decision this term. He dis- erals,extendedthelifeofDe- liberals remain leery of the conservativerésumé,wascen- dency. ‘method and philosophy from sented only in an Oklahoma ferredActionforChildhoodAr- chiefjustice. traltorulingswelcomedbythe “He believes very strongly thoseofthepoliticalandlegis- caseThursdayrecognizingNa- rivals,anObama-eraprogram Whiletheywelcomehisoc- right that expanded religious thatpeopleshouldnotlookat lativeprocess,’”ChiefJustice tiveAmericantreatyrightsand providingworkpermitsforun- casional deviations from the rightsandlimitedtheadminis- thecourtandseeRepublicans Roberts wrote, citing a 1944 inanAprilrulingthatsaidde- authorizedimmigrantsbrought court’s conservative wing, his trativestate.Yethealsofound and Democrats, that they not articlebyararejusticerevered fendantscan’tbeconvictedof to the U.S. as children. The alignmentwithleft-leaningjus- common ground with liberal seejudgesasmerepartisans,” by conservatives and liberals serious crimes unless jurors Trump administration had ticesremainsarelativelyrare justicesonmanyofthecourt’s said Harvard law professor alike,RobertJackson. areunanimous. soughttocancelit. eventina15-yeartenurethat highest-profilecases,including Richard Lazarus, a longtime The chief justice, by many Nochiefjusticehasbeenin Althoughhedidn’twritethe hasseenthecourtweakenvot- on abortion, immigration and friendofthechiefjustice. measures, is steering a court the majority this often since decision,thechief’shandwas ing rights, campaign-finance presidentialimmunity. Mr. Lazarus says that goal thatismoreconservativethan Chief Justice Fred Vinson in evidentintheJunerulingthat regulations,consumerprotec- Rather than leading the plays a part in the votes the whenhetookitover.Goneare 1949,accordingtoastatistical extended federal civil-rights tion,schoolintegrationandla- court to sweeping new pro- chiefjusticecasts.In2016,for center-right justices such as analysis published by Adam protections to LGBT employ- borunions,typicallyin5-4de- nouncements, the Roberts instance, he dissented from a SandraDayO’ConnorandAn- Feldman on SCOTUSblog, a ees:Withtheauthoritytoas- cisions along conservative- court often produced incre- 5-4 decision invalidating a thonyKennedy,whoplayedthe websiteaboutthecourt. signopinionswhenheisinthe liberallines. Chip Deal reliable source of deals for GOP Women Talk Tough on Trail years.Alittleoverayearago, Could Near German chip maker Infineon TechnologiesAGagreedtobuy CypressSemiconductorCorp. BYNATALIEANDREWS effortstorebuilditsranksfol- theHouse,downfrom22inthe $20 Billion for €8.4 billion ($9.4 billion). lowing deep losses in 2018, previousCongress.Theblockof Underscoringthecomplexreg- Tiffany Shedd, running for whichleftthepartyinthemi- darksuitsontheleftsideofthe ulatory scrutiny inherent to theHouseinArizona,re-enacts norityintheHouse.Morethan rostrumhasstoodinstarkcon- semiconductordeals,thatdeal amomentinwhichshepulled 220Republicanwomenfiledto trast to the 88 women on the WS justclosedinApril. outaguntodefendherfamily runfortheHousethiscycle,a other side of the aisle. Demo- ContinuedfromPageOne NE Also last year, NXP Semi- when she saw what she said record.Ofthose,morethan50 cratsholdthemajoritywith233 G tomotiveandhealthcare.The BER conductors NV agreed to ac- weredrugrunnersonherland Republican women have se- lawmakers,versus197Republi- companywasfoundedin1983 OM quire Marvell Technology neartheborder. curedtheirparty’snomination cansandoneindependent. O andisbasedinSanJose,Calif. BL GroupLtd.’ssuiteofWi-Fiand InNewMexico,YvetteHer- andseveralmoreareinrunoff “That’sapicturethatreally Analog,withamarketvalue AMaximintegratedcircuitchip Bluetooth connectivity tech- rell promises to take on the contests,withseveralprimaries needstochange,”saidbusiness- of about $46 billion, is head- nologyandONSemiconductor “gun-grabbingeliteinWashing- stilltobeheld. woman Lisa Scheller, who is quartered in Norwood, Mass. Corp.strucka$1.1billiondeal ton”asshefiresoffroundsata “These Republican women challengingDemocraticRep.Su- Thecompanieshaveheldtalks Thecombination for Quantenna Communica- shootingrange. aren’t just running on being sanWildforaseatinPennsyl- onandoffforyears. tionsInc. GenevieveCollinssaysbeing tough—they are tough,” said vania’sLehighValley.“Women wouldcreateamore MaximandAnalogarema- U.S.andChineseauthorities a Texas woman “means you TorunnSinclair,spokeswoman aresteppingupinrecordnum- jorplayersinanalogsemicon- muscularcompetitor havestoodinthewayofsome knowhowtoshoot,clean,and for the House GOP campaign bers,wedobringauniqueper- ductors,usedinareassuchas semiconductordeals.In2018, eat your kill one day, then arm. She said House Demo- spectiveandanecessaryone.” toTexasInstruments. power management for auto- Qualcomm Inc. scrapped its throwonyourdressandworka crats in the competitive dis- Kelly Dittmar, a scholar at motive batteries. A combina- $44billiondealforNXPwhen boardroomthenext.” tricts“broketheirpromisesto the Center for American tionofthetwowouldcreatea it failed to win Chinese ap- Many Republican women be middle-of-the-road repre- WomenandPoliticsattheEa- moremuscularcompetitorto provalalmosttwoyearsafter running to win back Demo- sentatives.” gleton Institute of Politics at Texas Instruments Inc., the rations on hold, but has re- it was first announced even cratic-heldHouseseatsareem- GOPhopefuls“willdoany- RutgersUniversity,saidtheads leaderinanalogsemiswitha centlyshownsignsofcoming thoughthetransactiondidn’t bracing guns and shows of thingtodistractfromtheirpo- help the candidates check off $119billionmarketvalue.Ana- back to life. A blank-check involveaChinesecompany. physicalstrengthintheircam- sitionsandrecordsthatwould manyboxes. logwouldalsogainaccessto companyplanstobuyhealth- Broadcom Inc. has shifted paignadstobackuptheirsup- makehealthcaremoreexpen- “They have to demonstrate Maxim’sarmyofhardwareen- care-services provider Multi- in recent years into software portoftougherbordersecurity, sive for everyday Americans don’t worry, I’m also a really gineers. Planinadealvaluedatabout acquisitions after it was SecondAmendmentrightsand andtheirlockstepobedience” goodsolidwifeandmother,but ItwouldbethelargestU.S. $11billionincludingdebt,The thwarted in an effort to buy loyaltytoPresidentTrump.At to the party, said Cole Leiter, also I meet these otherwise mergerthisyear,accordingto Wall Street Journal also re- Qualcommformorethan$100 thesametime,theyareattack- spokesmanfortheDemocratic masculinepartsoftheoffice— data from Dealogic. Deal vol- portedonSunday. billion. ing Democratic proposals and CongressionalCampaignCom- I’mstrong,I’mtough,”saidMs. ume world-wide dropped off Still, merger volume is Any deal between Analog areavoidingtalkofbipartisan mittee. Dittmar,whoanalyzedhowRe- beginning in mid-March as down about 50% globally so and Maxim would likely re- cooperation in these competi- Republicansarealsolooking publicanwomenwererunning fallout from the coronavirus far in 2020 in dollar terms quireapprovalfromregulators tivedistricts. tocloseawidegendergapwith in 16 competitive House races pandemic prompted many comparedwithlastyear. intheU.S.,ChinaandtheEu- Womencandidatesarecen- Democrats. Republicans cur- and found many were empha- companiestoputmergeraspi- Thechipsectorhasbeena ropeanUnion. tral to the Republican Party’s rently have just 13 women in sizinggunsandgunrights. UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws THEWALLSTREETJOURNAL. Monday,July13,2020|A5 Invested in a different kind of wealth. Where you invest your time is just as important as where you invest your money. A financial professional can put you on the path to financial clarity—so you can live a more enriched life. Thrive with Purpose™ To learn more about Thrivent, text Thrive to 484848 or visit thrivent.com UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws A6|Monday,July13,2020 THEWALLSTREETJOURNAL. **** U.S. NEWS Infections Hit Elderly in Sunbelt Testing Grows but Casesaccelerate Covid-19infectionsinnursinghomesincreasedsharplyfromthelastweekofMaythroughtheweek thedatashow. innursinghomes, endedJune28inmanyoftheareasthathaveseenrecentspikesinoverallcases.Insomeplaceshit Butthelatestfederalstatis- Troubles hardearlierbythevirus,therecentgrowthincaseshasbeenslower,includinginnursinghomes. ticsindicatehowporousthose butspikeindeaths defenses can be when the vi- Cumulativepercentagechangeinnewnursing-homecases Biggestandsmallestcumula- rus is spreading nearby. Park Persist hasn’tbeenseenyet WeekendedMay31throughweekendedJune28among100 tivepercentagechangesin Manor of CyFair in Houston largest*metroareas newnursing-homecases reportednearly50newcases Covid-19 infections are ac- U.S.level:294% WeekendedMay31through inthesecondhalfofJune,the BYDEANNAPAUL celerating in Sunbelt nursing weekendedJune28among datashow,andnineCovid-re- ANDALEJANDROLAZO homes, federal data show, a 200% 300% 400% 500% 25largest*metroareas lateddeathsthatmonth.The signthecoronavirusisreach- increasebeganafteraresident When the pandemic began 1,000% ingthemostvulnerablepeople leftthenursinghomefordial- spreadingintheU.S.thisyear, there. ysis treatment and came in the nation’s testing system Selectmetroareas Phoenix contact with a worker who was beleaguered by supply ByChristopher turned out to have Covid-19, shortagesandmultidayback- Weaver,AnnaWilde 500 saidDerekPrince,chiefexecu- logs. Months into the crisis, Mathews tive officer of the facility’s many of those original chal- andJonKamp owner,HMGHealthcareLLC. lengesremain. U.S. “Highcommunityspreadwe The demand for tests has Sofar,emergingoutbreaks are experiencing in Houston skyrocketedinthewakeofre- of Covid-19 in Tampa, Fla., 0 andasymptomaticcarriersput openingsandthecorrespond- Phoenix, Houston and else- May31 June28 our most frail and elderly at ing rise in cases. Meanwhile, whereintheSouthhavebeen riskofcontractingthevirus,” lab supplies are dwindling in lessdeadlythantheinitialU.S. SanAntonio Houston Mr.Princesaid.Hesaidthefa- many of the hardest-hit re- wave that emerged in March Phoenixhadthesteepest cility was testing residents gions and delays in turn- andApril.Onereasonexperts increaseamonglarge andstaffersweekly butthatit around times have undercut cite: Victims in states that metroareas hadseenincreasinglagtimes contact-tracingefforts.Public- raced to reopen bars, restau- in getting results and contin- health experts say the situa- Metroswiththesmallestchanges rants and churches after the uedtofacechallengesprocur- tion is reminiscent of what initial lockdown tend to be NewYork Washington,D.C. Minneapolis- Detroit Tampa,Fla. Kansas ingprotectivegearforstaff. theysawinMarchandApril. younger and better able to St.Paul City,Mo. The federal data, released “ThisisanAmericanfailure,” fightoffthevirus. by the Centers for Medicare said Joseph Kanter, regional Risesinnursing-homecases andMedicaidServices,arere- medicaldirectorfortheGreater threatentobreakthatpattern, ported at least weekly by NewOrleansarea.“We’refive aWallStreetJournalanalysis nursinghomes,andsupplythe monthsintothisepidemicand of federal nursing-home data *Top100metroareasbynursing-homebeds. Note:Analysisincludesonlynursinghomesthatpassedfederaldatachecksineachweekofreporting. broadest national barometer wecan’tfigureitout.” shows.FacilitiesintheHouston Source:CentersforMedicareandMedicaidServices MaxRust/THEWALLSTREETJOURNAL ofhowthefacilitiesarefaring NewOrleans,whichfaceda andTampametropolitanareas intheireffortstoprotectresi- crippling outbreak early on, markedanearly800%cumula- thenyouseethedeaths,”said generally have lagged behind residents and helping swell dentsfromthevirus. tive increase in new cases David Grabowski, a professor new cases by several weeks. the national death toll from But these statistics have amongresidentsfromthelast at Harvard Medical School Thatispartlybecauseittakes long-term care facilities to importantlimitations,includ- ‘ThisisanAmerican weekofMaythroughtheweek who studies nursing homes. anywherefromafewdaystoa morethan57,000,accordingto inggapsinreportingbysome failure,’aNew endedJune28,themostrecent “As it spreads to these new coupleofweeksforsymptoms aseparateJournalanalysisof nursing homes and inconsis- period available, with more states, we’re not that much to grow severe, but more re- statedata. tencies with how data from Orleanshealth than400newcasesduringthat fartheralongthanwewerein cently improved monitoring Intheaftermath,stateand beforelateMaywerereported, officialsaid. periodinbothcities.InPhoe- the Northeastern states in andtreatmentshavealsocon- federalleaderspushedtobet- makingitimpossibletocom- nix,theincreasetopped900%, MarchandApril”ineffortsto tributedtobetteroutcomes. terprotectnursinghomes,in- pare the speed of the latest morethanthreetimesthena- shield residents from the vi- Still,Florida,Texas,Arizona cluding by promoting more outbreakstoearlierones. tional increase, as nursing rus,hesaid. and some other Southern widespreadtestingofpatients The Journal’s analysis ex- homesreported545newcases. So far, the mounting statesreportedrecordoverall and continuing most restric- aminednewcasesamongresi- continues to struggle with a DatafromMiamiandSanAn- Covid-19 cases at nursing numbers of Covid-related tionsonvisitors,evenasother dentsonlystartinginthelast deficitofswabsandreagents, tonio nursing homes showed homes in the Sunbelt haven’t deathsinrecentdays. partsoftheircommunitiesre- weekofMayandonlyinclud- thechemicalsusedtoconduct fastgrowthincasesaswell. ledtolargenumbersofdeaths, In the early epicenters of opened.Inthoseinitiallyhard- ing facilities that reported tests.Communitytestingsites “Wefirstseeitinthecom- despiteupticksinsomelocales. New York and New Jersey, hit states where outbreaks completedataeachweekand that were once testing 300 munity,andthenweseeitin Throughout the world-wide outbreaksquicklyspiraledout have now abated, new nurs- passed a CMS data-quality peopleadayhavebeenforced the residents and staff, and pandemic, reported deaths ofcontrol,killingthousandsof ing-home cases have slowed, check. toscalebackby50%. “Whenthecentersopenat 8a.m.,therearealreadymore Vaccine Researchers Aim to Stem Side Effects than 150 people in line,” Dr. Kantersaid.“Itcapsimmedi- atelyuponopening.” U.S. testing capacity has BYPETERLOFTUS suretheyfightoffinfections, ment, but I also think it’s im- includingantibodies,thatlock inthemid-1960sdetectedthe grownthreefoldsincethebe- ratherthanworsenthem. portant we do it safely,” said onto a virus and thereby neu- sideeffect. ginning of the pandemic, but In 2017, researchers found Thelarge,final-stagetrials BarneyGraham,deputydirector tralizeit.Incasesofdiseaseen- The safety issue has hov- thesurgeincasesaroundthe thatsomechildrenwhogota startingtogetunderwaywill ofthevaccineresearchcenter hancement, however, immune ered over efforts to bring to countryhaspromptedunprec- newvaccineagainstthetropi- lookforsignsofraresideef- attheNationalInstituteofAl- agents act in ways that facili- marketavaccineforthenew edenteddemandnotonlyfrom caldiseasedenguelatercame fects like the ones that arose lergyandInfectiousDisease.He tate replication of the virus. coronavirus because signs of the gravely ill, but from as- downwithaseverecaseofthe for vaccines for dengue and saidhehasn’tseenanyareasof The complication can danger- diseaseenhancementarosein ymptomaticpatients,employ- illness, forcing production to other respiratory conditions, concern in testing to date for ously increase the severity in research into vaccines for ers and scientists conducting temporarily stop. Now, re- includingothercoronaviruses. thecoronavirusvaccines. peopleexposedtothepathogen othercoronaviruses. research and vaccine trials. searchers developing corona- Therarecomplication,known ModernaInc.,PfizerInc.and aftertheygettheshots. Toavoidthecomplication, Each of those trials involves virus vaccines aim to avoid a as disease enhancement be- othercompaniessaytheircor- AsidefromaffectingSanofi coronavirusvaccineresearch- tens of thousands of people similar fate that could set cause it worsens the disease onavirusvaccineshaveshown SA’sdenguevaccineDengvaxia, ers have taken steps such as thatneedfrequenttesting. back fast-moving efforts to the vaccine is supposed to to be generally safeand well- signsofdiseaseenhancement makingavailablehigh-quality “Mathjustsaysthatyou’re curbthepandemic. protect against, is a concern toleratedinearly-stagetesting stymieddevelopmentofanex- antigens, something the vac- goingtohaveaproblem,”said The researchers say they forvaccineresearchgenerally. insmallnumbersofpeople. perimentalvaccineagainstre- cineeitherdeliverstoorpro- GeoffreyBaird,interimchairof have designed Covid-19 vac- “I think it’s important that Vaccines are designed to spiratory syncytial virus, or ducesinthebodytotriggera laboratorymedicineattheUni- cinesinwaysthataimtomake we do rapid vaccine develop- produceimmune-systemagents, RSV, after studies in children desiredimmuneresponse. versity of Washington School ofMedicine.“Thevendorsare Cases Soar growing capacity, but the de- across the state have imple- mandisgrowingmuchfaster.” mented orders of their own, TheU.S.outsourcesalotof To Record varyinginsizeandscope. its laboratory testing, which Starting Monday, for in- generallyworks“whenyou’re stance, people in Wisconsin’s notinaglobalpandemic,”Mr. In Florida DaneCountywillberequiredto Bairdsaid.“Thecountryisn’t wear face coverings in public preparedtorespondtoanex- indoorsettings,withcertainex- ponentially growing need for ceptions.Officialsinneighbor- viraltesting.” ingIowaCountyhavestrongly InSacramento,ahandfulof ContinuedfromPageOne encouragedfacecoverings,but community-testing sites tions, too. Case counts in 13 notrequiredthem. launchedbytheUniversityof others—Alabama, Alaska, Ar- Some of the soaring case California, Davis, Health sys- kansas,Georgia,Hawaii,Idaho, countscanbeattributedtoex- tem shut down after supply Louisiana, Montana, Nevada, pandedtestingthatisdetecting chainsdriedup. Oklahoma,SouthCarolina,Ten- asymptomatic or less severe Stennis Martin scheduled a nessee and West Virginia— cases, often among younger test after a friend died from wereupmorethan20%inthe SSpeople.Atthesametime,many Covid-19 complications. On RE pastweek,accordingtoJohns Pstates,includingCalifornia,Ar- Tuesday,shewasoneofmore D Hopkins.Thirty-twostateshad ATEkansas and Nevada, have re- than100peopletolearnherap- increasesofatleast10%inthe OCIportedaclimbingrateofposi- pointmenthadbeencanceled. pastweek. ASStivityforcoronavirustests.In “Noweveryonehastogoto The accelerating spread, KY/SouthCarolina,22.3%ofcoro- theirdoctors,whichiskindof D which is fast moving beyond SLAnavirustestsreportedSaturday nearly impossible,” said Ms. several big Sunbelt states to NEwerepositive—thehighestpos- Martin,56yearsold,whoin- other pockets of the country, LYNitiverateamidasurgeofcases teractsregularlywiththepub- hassomepublic-healthexperts AFloridaNationalGuardsmandirectscarsliningupforcoronavirustestsinMiamiBeachonSunday. overthelastmonth. licasagrocerybagger. voicingdirewarnings. Wisconsin’s health depart- Thedearthinsupplieshita “Wearenowinamorese- in total since the start of the mentreported769newcasesof lowafterpharmaceuticalgiant verestateoftheepidemicthan pandemiccomparedwithnearly U.S.LocksDown hosttomorethanhalfofthe thecoronavirusSundayfollow- Roche Holding AG didn’t de- we have ever been,” said Lisa 270,000inFlorida. roughly50,000U.S.military ingarecordhighinnewcases liverenoughtestsforUCDavis OkinawaBases M.Lee,apublic-healthexpert Some epidemiologists said personnelinJapan,andten- the day prior. About 10.1% of tokeepupwithitsprograms, specializing in infectious-dis- reopeningbusinessestooearly sionsarefrequentbetweenlo- coronavirus tests in the state saidDavidLubarsky,chiefex- easeepidemiologyandpublic- helpedleadtoasurgeininfec- calpeopleandtheU.S.forces reportedSundaywerepositive. ecutiveofUCDavisHealth.On health ethics at Virginia Tech tions across a wide swath of TOKYO—TheU.S.military overnoise,crime,militaryacci- Meanwhile,thenationisstill Monday, the system received University. “I am fearful that the U.S. Other countries, like saidSundayithasorderedMa- dentsandotherissues. facing significant shortages in 1,100tests. wewillgettothepointwhere Germany,NewZealandandTai- rinepersonnelontheJapanese OkinawaGov.DennyTa- testing capacity, leaving many “That’snotenoughforthe we really can’t control it. In wan, had more effective lock- islandofOkinawatostayon makicriticizedtheU.S.mili- without the ability to quickly amountwe’redoing,”hesaid. certain cases it’s getting very downsandwereabletomore baseafteracoronavirusout- tary’shandlingoftheoutbreak. determine whether they have His testing sites have been close to not being able to do effectively control the virus’s breakinvolvingdozensof Maj.KunzesaidtheMarine been infected. Deaths, widely running600proceduresaday. muchaboutit.” spread,theysaid. casesdrewcriticismfromthe Corpshassteppedupprotective viewedasalaggingindicatorof Hishealthsystemhadtocan- Therewassomegoodnews: “Wejustdidn’thavethaten- island’sgovernor. measures,includingprohibiting thevirus’sspread,haverecently cel efforts that targeted low- NewYorkCity’sDepartmentof durancetoseethattothepoint TheMarineCorpstoldOki- off-baseactivitiesandclosing edgedhigher.TheU.S.deathtoll income,immigrantandminor- HealthandMentalHygienere- wherecasesarenowsporadic,” nawaofficialsthatatotalof nonessentialfacilities.Hesaid wasabove135,000onSunday. ity communities, like the one portednodeathsfromthecoro- said Ajay Sethi, an associate 61newcoronavirusinfections messhallswouldservetakeout The upshot: More than five inMs.Martin’sneighborhood. navirusSaturday—thefirsttime professorofpopulationhealth wereconfirmedamongU.S. foodonly.“Thoroughcontact monthsafterthefirstconfirmed In an email, Roche spokes- thedepartmenthasn’trecorded sciences at the University of servicemembersandrelated tracingisongoingtoidentify coronavirus death in the U.S., man Patrick Barth said the new fatalities in a single day Wisconsin-Madisonfocusedon personnelonOkinawabetween andisolatethosewhomayhave thevirusisspreadingthrough- companywas“sendingtestkits sincemid-March.Itispossible epidemiology and infectious July7andJuly11,saidMarine comeincontactwithinfected out the country more quickly toUCDavisinaccordancewith coronavirus deaths that oc- diseases. spokesmanMaj.KenKunze. personnel,”Maj.Kunzesaid. than ever. Some experts think our normal practice.” adding, curred Saturday could be re- Others think the state-by- Thesouthernislandplays —PeterLanders the country has little to show “We monitor usage very portedatalaterdate. state patchwork approach to forthehardworkandeconomic closelytoensurethatwepro- While the percentage in- regulating safety measures— costs incurred during the videtestingsupplieswhereand creaseofcasesinsomestatesis from shutting down bars and state borders,” Ms. Lee said. sin, after the state Supreme broaderlockdowninthespring. whentheyareneededmost.” high,inmanycasestheoverall restaurantstomandatingwear- “Withoutacoordinatedfederal CourtinMaylimitedtheDemo- “Byreopeningtoosoon,we Supplyshortageshavealso numbersarestillrelativelylow. ing masks—hasn’t worked, as responsetothis,wereallyare craticgovernor’scapabilitiesof justneversawthefullbenefitof hampered testing efforts in Montana,forexample,sawa peoplecontinuetotravelfreely inabadplace.” declaring statewide mandates whatwehadstartedwhenwe Texas,wheretherehavebeen 44%increaselastweekbuthas fromstatetostate. Measureshavevariedwithin orrestrictionsduringthepan- were first addressing this epi- daysofrecordcases,hospital- onlyrecordedabout1,800cases “Viruses don’t care about state borders, too. In Wiscon- demic, local governments demic,”Dr.Sethisaid. izationsanddeaths. UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws THEWALLSTREETJOURNAL. Monday,July13,2020|A7 PAIDADVERTISEMENT WHAT YOU SEE (ONLINE) MAY NOT BE WHAT YOU GET. FRAUDULENT MEDICAL SUPPLIES ARE PREVALENT IN THE COVID-19 CRISIS. REPORT FRAUD EMAIL: [email protected] OR ICE.GOV/STOLENPROMISE BROUGHTTOYOUBY: NETWORKS&CONVERGENCESTRATEGIESLLC UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws A8|Monday,July13,2020 ** THEWALLSTREETJOURNAL. WORLD NEWS Voters in Hong Kong Turn Out in Droves Bigger-than-expected ficeofanindependentpolling operatorthatisassistingwith primaryparticipation theweekendvote.Policesaid reflectssupportfor the visit was related to a re- ported hack that had leaked pro-democracyparties people’spersonalinformation. Noarrestsweremade. BYNATASHAKHAN The new security law tar- gets secession, subversion, HONGKONG—Hundredsof terrorism and collusion with thousands of people voted in foreign forces, with punish- primaries held by the city’s mentsincludinglifeimprison- pro-democracycampoverthe mentforseriousoffenses.The weekend,reflectingsteelysup- city’sresidents—andmanyof portforthemovementdespite its government officials— Beijing’s imposition of a na- didn’tlearnthefulldetailsun- tional-security law that has tilaroundthetimeittookef- curbed public expressions of fectonJune30. dissentinrecentweeks. Legalexpertshavecriticized Pro-democracypartiesheld the language of the law as theprimaries,whicharen’tof- vagueandoverlybroad.Some ficiallypartofthecity’spoliti- opposition parties have dis- SS calprocess,tosettleoncandi- REbanded,andpeopleacrossthe P dates and avoid splitting the Acityhavescrubbedtheirsocial- M votegoingintolegislativeelec- ZUmediaprofilesanddialedback tionsinSeptember.Theyhope GES/publicdisplaysofprotest. tosecureenoughvotestowield MA Beijing and Hong Kong’s moreinfluence,settheagenda AIgovernmenthavedefendedthe P oratleasthavemorepowerto SOlawasnecessarytorestoreor- blockgovernmentattemptsto HEI/derandplugsecuritygapsaf- G passunpopularlegislation. Nterayearofprotests. O The bigger-than-expected NL Someanalystshavesaidone A turnout shows there remains HreasonBeijingpushedthrough C opposition to a government HundredsofthousandsofpeopleinHongKongvotedforpro-democracycandidatesinSunday’sunofficiallegislativeprimary. the law is the likelihood of a that has increasingly bent to soliddefeatforthegovernment Beijing’swilloverthepastyear. “Hong Kongers’ desire for Whileadistrictelectionlast stances,thoughitwillbeweeks olatethenational-securityleg- in the September elections, Organizers said about democracyremainsresilient,” Novemberindicatedtheyenjoy beforeitisknownwhichcandi- islation,sayingtheeventwas whichwouldmakeitevenmore 600,000peoplevotedoverthe saidEdmundCheng,apolitical popular support, opposition dates have been approved by intended to manipulate the difficult for the city to pass weekend in primaries held at scientistattheCityUniversity candidates will likely face an governmentofficials. legislativevoteandcallingout controversialbillsofitsown. morethan200shopsandstreet ofHongKong.“Protestingnow uphillbattlegettingthroughthe Aheadoftheprimaries,Sec- some candidates’ pledge to Expectations of a strong stationsacrossthecity,aswell carriesmoreriskandsodoes September vote. Government retaryforMainlandandCon- vetothegovernmentbudgetto showing by the opposition asonline.Thereareabout4.5 publiclydeclaringtheirpoliti- authorities have suggested stitutionalAffairsErickTsang paralyzeitsoperations. haverunhighafterthedemoc- millionregisteredvotersinthe calstances,sotheyarevoicing somecouldbedisqualifiedbe- toldalocalnewspaperthatthe On Friday, police with a racy camp swept the district cityof7.5millionpeople. theiropinionsbyvoting.” causeoftheirantigovernment primariesthemselvescouldvi- court warrant visited the of- councilelectionslatelastyear. China Isn’t Beijing, Tehran Discuss Partnership decades,withannualGDPcon- tracting4%ormore,according Set to Lead tosomeforecasts. Uncertainty over fresh BYSUNEENGELRASMUSSEN that an 18-page draft agree- projects never come to frui- ready to work with Iran to Covid-19 outbreaks is further ANDARESUEQBALI ment circulating online is au- tion. steadily advance practical co- Recovery cloudingtheoutlook. thentic but announced years “It’s an expression of in- operation.” Geraldton Fishermen’s Co- IranandChinaareseeking ago plans to enter into an tent,” said Dina Esfandiary, a For Iran, developing closer operative Ltd., which exports tocementawide-rangingpart- agreement along the lines fellowwithTheCenturyFoun- tieswithChinaisalsoawayto 90%ofitsrock-lobstercatchto nershipthatwoulddeflectU.S. drawnupinthedraft.AnIra- dationandco-authorofabook irkEurope.Tehranhasrepeat- ChinafromWesternAustralia, economic pressure and ease nianofficialhasalsoconfirmed onIran’srelationswithChina edly expressed its impatience ContinuedfromPageOne saw export volumes to China Tehran’sglobalisolation. thatadraftexists,whichChina and Russia. “It’s a useful PR withEuropeancountriesover ficientinsomeindustriesthan returntohistoricalaveragesin AninitialdraftoftheIran- isconsidering. messagenow.” the lack of economic returns previously, meaning it might AprilandMayafteramonth- Chinadeal,whichstillrequires Evennascenttalksbetween China has resisted U.S. at- promisedfromaninternational needtobuylessfromabroad. long pause in fishing, said Iranian parliamentary ap- Iran and China for a partner- temptstocutitsconsumption nucleardeal,whichrestricted Thomas Nuernberger, MattRutter,itschiefexecutive. proval,wouldpavethewayfor ship of such scope and dura- oftheMideastcountry’scrude- Iran’snuclearenrichmentpro- Greater China chief executive But demand from China ChineseinvestmentsinIranian tionisanindicationofgrowing oil supply to zero. Sales to gram in return for easing of ofebm-papstGroup,afanand flutteredagaininJune,when free-tradezonesandforjoint concern that each has about Chinastillaccountforthema- sanctions. motor manufacturer based in new coronavirus cases con- projects in other countries, theU.S.BeijingandTehranare jorityofoilthatIranexports. The Trump administration southern Germany, said de- nectedtoBeijing’slargestfood such as Syria and Iraq. It engulfed in acrimonious rela- Askedaboutthe25-yearco- lefttheaccordin2018before mand from Chinese hospitals wholesalemarketsurfaced. wouldexpandcooperationbe- tionships with Washington. operation agreement, China’s imposingsanctionsandthreat- anddatacentershasrecovered. “It could take six to 12 tweenthetwocountriesinde- ChinaisengagedwiththeU.S. foreign ministry spokesman ening other countries not to Butsaleshavefallensharplyto monthsormoreforthemarket fense and counterterror- in a trade war, while Iran’s Zhao Lijian last week didn’t dealwithIran.Europeanpar- the auto industry and to Chi- torecover,”Mr.Ruttersaid. ism. And it said that under a economyisstrugglingundera confirm the deal but said: tiestothedealsoughttocoax nese manufacturers that ship Concerns over rising debt 25-year partnership, China raftofU.S.sanctions. “China and Iran enjoy tradi- Iran to abide by its commit- their products elsewhere. He havemadeBeijingwarierofen- would import “sustainable” The deal, some analysts tional friendship and the two mentsintheaccordbyestab- expectscautionamongChinese gineeringmoregrowththrough levelsofIranianoil,butoffered said, aims to show that both sideshavebeenincommunica- lishingaspecialtrademecha- consumers and businesses to stimulus this year. Its fiscal nofurtherdetails. countrieshavealternativesto tiononthedevelopmentofbi- nism, but it has so far weigh on growth, reducing measures are estimated to Thegovernmenthasdenied theWest,evenifmanyofthe lateral relations. We stand conductedlimitedtransactions. oddsofa“V-shaped”recovery. amountto4.6%ofGDP,accord- “For2020itisnotpossible, ingtotheIMF.ChristineWong, Ithink,thatChinadoesthejob” avisitingresearchprofessorat Poland Presidential Vote Too Close to Call it did in 2008-09, said Thilo theNationalUniversityofSing- Brodtmann,executivedirector apore’s East Asian Institute, oftheGermanMechanicalEn- figuresitmayaddupto7%of gineeringIndustryAssociation, GDPwhenallgovernmentbud- BYNATALIAOJEWSKA atradebody.“Quiteafewcom- getsaretakenintoaccount. ANDDREWHINSHAW paniesinChinaarestruggling.” In some cases, though, China is still expected to Chinaisbetter-placedtosup- WARSAW—A presidential post the strongest growth of ply its needs than before. In contestinPolandwastooclose anymajoreconomythisyear. the construction sector, sales to call on Sunday, clocking a The International Monetary ofexcavatorsjumped68%from highervoterturnoutthanany Fund projects that China’s electioninthecountry’smod-S gross domestic product will ern history, and setting theAGE expand 1% in 2020. This fol- Anygrowthinthe M stage for a likely court show-I lowsa6.8%contractioninthe downbetweenthenationalistGETTY first quarter. The U.S., Ger- world’ssecond- ilcnelancPrugermederbs.vieidcnettonartnyAdannhddirszelexibjiteDrpuaodlllacshdraeel---ANCE-PRESSE/ mtoomaAcnyon—ynyatthgrnaredocwwtJaomtphroladirnn’esCastrhheeicanoenanx’s5pd%e-elcc.atorengd-- lmaargkeesatbeicgodnioffmeryencacen. R leased after midnight earlyF est—canmakeabigdifference. Monday gave him 51% to hisNCE China’spurchasesofsoybeans, opponent’s49%.ThedifferenceAGE for example, are helping U.S. the previous year in May, ac- is too small to project a win-SKI/ farmers, even if they don’t cordingtotheChinaConstruc- W ner,saidIpsos,themarketre-O fullyadduptototalspromised tionMachineryAssociation. K searchfirmthatconductedtheOD intheU.S.-Chinatradedeal. Butthisjumpwasdrivenby poll.HundredsofthousandsofZSL Still,onbalance,economists a76%increaseinsalesbydo- S vstoitllesexcpaescttefdrotmocaobmroeaidn,wweitrheMATEU svaididinCghaisnam’sucdhemooamndphisans’titpdroid- mcluedsteicSapnryoHduecaevrys,IndwuhsitcrhyCino-. themajorityofthoseexpected AvoterintheportcityofGdanskcasthisballotinPoland’spresidentialelectiononSunday. duringthepastrecession.Some Purchasesfromforeignsources, to go to Warsaw mayor and countrieshavebeenhitsohard including Caterpillar Inc. and opposition candidate Rafal Monday,Poleswerestilllined upattheSupremeCourt,”said message,”thepresidentsaid.“I thatevensolidChinesedemand KomatsuLtd.inJapan,rose3%, Trzaskowski. upataconsulateinCroatiato Anna Materska-Sosnowska, a feeldeeplyhumbled.” can’tgetthemoutoftrouble. accordingtoGoldmanSachs. The election saw Poland’s vote. political scientist at the Uni- Officialresultsareexpected In2008,Beijingrolledouta China’s longer-term shift highestturnoutofanynational But the outcome produced versity of Warsaw. “This is MondayorTuesday.Legalex- $586 billion stimulus package toward more reliance on ser- electionsincethe1989endof noclearwinner,andthecoun- trulyaPyrrhicvictory.” perts and political scientists about13%ofthecountry’seco- vicesinsteadofmanufacturing Communism,with69%ofvot- try is likely to be locked in a Mr. Duda declared himself both anticipate the loser will nomicoutputatthetime.That hasfurthercurbeddemandfor ers braving small but still- lengthyanddivisivecourtcase, the winner, and invited Mr. contesttheresult. was followed by a boom in thespecializedequipmentthat smolderingoutbreaksofcoro- withpollstersonSundaycom- Trzaskowskitocomevisithim Any such challenge would lending.China’seconomygrew helped turn China into the navirus to cast their ballots, paringittoAmerica’sBushvs. inthepresidentialpalace.“To initiate a court battle that 9.7%in2008and9.4%in2009. world’sfactoryfloor,saidJo- dressed in masks and gloves. Goreelectionin2000. winthiselectionbyaturnout could drag on for up to 21 Muchofitsspendingwent ergKraemer,chiefeconomist Longaftermidnight,intoearly “Iamafraidthatwewillend ofnearly70%isanincredible days. intoinfrastructurelikeroads, atCommerzbankinFrankfurt. airportsandhousing,driving MarkZandi,chiefeconomist WORLDWATCH Chinesedemandforimported atMoody’sAnalytics,saidnow materialslikeironore.Austra- the U.S. might be in a better lia, a major beneficiary, saw position to lead the global itseconomyexpandby3.7%in economy out of recession. CHINA theChinesecapital,andtoldMr. RUSSIA wasdetainedThursdayand 2008and1.9%in2009. Washington’s fiscal-policy re- Xu’swifethathisdetentionwas flowntoMoscow,whereheis This year, annual iron-ore sponsetoCovid-19amountsto Detained Critic March in Eastern City relatedtoallegationsofsoliciting beingheldpendingtrialforhis supplycontractswithChinese 13%ofGDPthisyear,hesaid. Of Xi Jinping Freed prostitution,thosefriendshad Protests Arrest allegedinvolvementinthemur- customersarerunningaheadof TheU.S.andsomeotherde- previouslysaid.Friendshavedis- dersofseveralbusinessmen levels at the same stage of velopedeconomieshaverising AChinesescholarknownfor missedthoseallegations,saying Protestersmarchedfora some15yearsago.Hehasde- 2019,aseniorAustralianmin- coronaviruscases,threatening hiscriticismofChina’sleader,Xi Mr.Xuwaslikelypunishedforhis seconddayinRussia’sFarEast- niedthecharges. ingexecutivesaid.Someofthat theirabilitytoleadaglobalre- Jinping,hasbeenreleasedfrom criticismofMr.Xi’sleadership. erncityofKhabarovskoverthe Regionalprotestsovercom- reflectsdemandshiftedtoAus- covery.Thatleavesmanycom- policedetention,daysafterhe AcalltoMr.Xu’smobilephone arrestofaregionalgovernor,in plaintssuchashospitalclosures traliafromBrazil,anotherbig paniescountingonChina. wastakenintocustody,thepro- rangunansweredandthephone adisplayofdefiancedaysafter arecommon,butralliescriticiz- iron-ore player that has been “Chinawillstillbeagrowth fessor’sfriendssaid. laterwentoffline.The57-year- PresidentVladimirPutinwona ingMr.Putinaremorerare.This hitharderbythecoronavirus. enginefortheworld,”saidMs. XuZhangrun,alawprofessor oldprofessordidn’trespondtoa referendumthatcouldextend weekend’sprotestsshowresis- Thatisn’tthekindofdemand Wong at the National Univer- atBeijing’sprestigiousTsinghua messagesentviatheWeChatso- hisruleforyears. tanceisstrong,despiteMr.Pu- surgethatAustralia,whichsaw sityofSingapore.But“ifChina University,returnedhomeSun- cial-mediaplatform.Hiswife SergeiFurgal,whoin2018 tin’sresoundingvictoryinthe a drop in consumer spending, growsat1%,it’sbarelyinching day,accordingtohisfriends.Po- couldn’tbereachedforcomment. defeatedaKremlin-backedcan- referendum,analystssaid. needstoavoidslippingintoits forward.Soit’snotgoingtobe licedetainedhimlastMondayin —ChunHanWong didateintheraceforgovernor, —GeorgiKantchev first recession in nearly three pullinganybodyveryfast.” UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws THEWALLSTREETJOURNAL. Monday,July13,2020|A9 WORLD NEWS Asia’s Garment Industry Hit By Pandemic BYNIHARIKAMANDHANA University.“That’swhyit’snot ANDMYOMYO justatemporarysetback.” ZinMarOo,22,lostherjob Many of Asia’s developing inMyanmaraftertheSouthKo- countries have long relied on rean-ownedfactorywhereshe factories producing T-shirts, worked closed down in April. NAL R trousersandshoesthatemploy Theownerleftnowordabout OU J mthiellmionclsimobfthpeeoinpcleomaendladhdeelrp. ttohreyf,aatcecoorfdtihnegjtoobsMosr.Othoe.fac- STREET ThisishowBangladeshslashed Ms. Oo, who didn’t finish ALL poverty, Vietnam began its high school, made $155 a W manufacturing dream and month. Before they moved to HE T Myanmarsetouttogrowafter the industrial area, Ms. Oo’s OR F yearsofcripplingsanctions. mothersoldvegetablesintheir O O When the coronavirus village,earning$2aday. R A struck, stores closed across InCambodia,nearly250fac- ZAY N North America and Europe. toriesstoppedoperations.That MI Western brands canceled or- includes Gladpeer Garments ZinMarOo,rearleft,lostherjobatanonprofitoutsideYangonwhenthefactoryclosedinAprilamidthepandemicdisruptions. ders worth billions of dollars, Factory,whichmakesT-shirts, leavingshipmentsofsweaters dressesandpajamasforbrands fromDenmark.Shewouldsew andjeanswithnotakers.Hun- likeHennes&MauritzABand CrisisIsReshaping thesamepointagain,”said alongthevaluechain—from ondozensofcollarsanhour,or dreds of factories closed FrenchretailerCarrefour.The RubanaHuq,presidentofthetop brandstowholesalersandde- attachpocketsallday,earning GlobalProduction acrossAsianindustrialbelts. Hong Kong-owned company industrygroupforgarmentman- partmentstores—closingorbe- a monthly salary of $165 to Hundreds of thousands of laid off its Cambodian work- ufacturersinBangladesh,among ingbought,saidAchimBerg,se- $190, half of which she sent garmentworkers,avastmajor- forceofmorethan3,500. theworld’slargestclothingex- niorpartneratMcKinsey&Co. home. She put in an extra 70 ityofthemwomen,havebeen Without a pipeline of new Theglobalfashionindustry, porters.“Thereisalotofchange whoadvisesglobalfashionand hoursofworkeverymonthto suspended or laid off. Many orders,theyhadnochoicebut whichwasalreadyfacinghead- whichiscomingourway.” apparelcompanies. makemoreovertimepay. hadonlyjustpulledthemselves tocloseindefinitely,saidgen- windsbeforelockdownsdeci- J.C.PenneyCo.,NeimanMar- Westerncompaniesareex- She stayed at work even outofdestitution.Theirwages, eralmanagerAlbertTan. matedsales,isindeepturmoil cusGroupInc.andJ.CrewGroup pectedtomovesomeproduction when her son was rushed to while low, paid for regular Cambodia’s economy is ex- andislikelytobereshapedby Inc.havefiledforbankruptcy toTurkey,EasternEuropeand thehospitalwithtuberculosis, meals,basicmedicaltreatment pectedtocontractbetween1% thepandemic. protectioninrecentmonths.A NorthAfricaforEuropeanmar- becausesheneededthemoney andeducation. to 2.9% this year, the worst “Idon’tthinkthisisasector “massiveshakeout”couldresult kets,andtoMexicoforNorth morethaneverfor hiscare. In recent months, many outcome since 1994, and pov- whichisgoingtocomebackto in20%to30%ofcompanies Americanmarkets,saidMr.Berg. The coronavirus pandemic workershavereturnedtotheir ertycouldincreasebetween3 started disrupting the cross- villages,cutbackonfoodand and 11 percentage points, a bordersupplychainbehindthe borrowed money to survive. WorldBankstudysaid. mies expanded factory work byfirmsfromChina,SouthKo- motherofa1-year-old.Sheleft shirtsanddressesthatfillstore Developing Asia will grow by Globally,thepandemiccould overtimetomakemorecom- rea and elsewhere set up to him with her parents and racks. Ms. Moe was among just0.1%thisyear—theslowest increasethenumberofpeople plexproducts,roseupthevalue make clothes for Western movedtoanindustrialareato hundreds fired at her factory. rate in six decades, the Asian whoareextremelypoor—living chainandboostedincomelev- brands,seekingtotakeadvan- findwork.Shegotafactoryjob Shereceivedsomemoneyfrom DevelopmentBankestimates. onlessthan$1.90aday—by71 els.Butbuildinglarge,diverse tage of the low wages com- as a seamstress and before anEUrelieffund,andtraveled Clothesmakeupnearly85% millionto100million,thebank industrialbaseshasprovedin- paredwithlocationslikeChina long, began sending money homeinApril. of Bangladesh’s export earn- estimates. This would be the creasinglydifficultintheface andVietnam. homeforhersonandparents. Her father picks up work ings, and the sector employs first increase since 1998, and ofChinesesupply-chaindomi- Khin Moe Moe, now 25, In2019alone,morethan120 some days on construction four million people there. In almost half of the projected nanceandfactoryautomation. grewupintheseasidetownof new garment factories regis- sites,butitisn’tenoughtopay Cambodia, one in five house- new poor would be in South Myanmar appeared on the Kyaikkhami.Thefamilystrug- teredinMyanmar.Thecountry forthefamily’sneeds. holdshasatleastonegarment Asia,theWorldBanksaid. radarsofgarmentmanufactur- gledasdaily-wagelaborersand exported$6.7billionworthof Ms.Moe’sson,now4,needs worker,and75%ofexportsare TheUnitedNationsConfer- ersaround2013,whenthemili- as undocumented migrants to garments, footwear and bags, tobeginschool,whichrequires garments,footwearandtravel ence on Trade and Develop- taryjuntathathadbeenincon- neighboringThailand.Ms.Moe accordingtoSMARTTextile& fees.Thefamilynolongerbuys bags. Vietnam and India are ment forecast that businesses trolfordecadeswasloosening entered a mathematics pro- Garments,aprojectthataims chickenorfish,andusesinex- alsotopexporters,accordingto willcutbackonnewoverseas itsgrip.TheU.S.andEuropean gramincollege,withdreamsof toimproveworkingconditions. pensivefishpasteforcurry. estimatesbytheWorldTrade investmentsby40%thisyear. Union were lifting sanctions. gettingajobinabankorasa EventuallyMs.Moewentto Ms.Moedoesn’tknowwhen Organization. Even before the pandemic, TheEUgrantedMyanmarduty- teacher. But the money for workatYonganMyanmarFash- orifshewillbeabletogoback “There is no alternative manycountrieswerestruggling freeaccesstoitsmarketunder school fees disappeared when ion Co., a Chinese-owned fac- toYangonandfindnewwork. right now to the apparel tofollowthedevelopmentpath aprogramdesignedtohelpthe heragingparentscouldnolon- torythatmadeshirts,blouses “Gettingajobisveryimportant model,”saidRaymondRobert- taken by China and Asia’s leastdevelopedcountries. gerworklonghours. and coats for Sweden’s H&M, formetoraisemysonandto son,aprofessoratTexasA&M richer nations. Those econo- Hundredsoffactoriesowned By 2017, she was a single SpanishretailerZaraandOnly survive,”shesaid. WSJTALK / EXPERIENCE / OFFER / GETAWAY Claim Your Chooseanewpage-turnerfromthismonth’sselectionof e-books—includinganinsidestoryoftheU.S.-Chinatrade warbytwoWallStreetJournalreporters,aguideonhow Complimentary tobeabetterconversationalist,a“brassy,big-as-life” collectionofshortstoriesandmore. E-Book WSJMEMBEREXCLUSIVE REDEEMNOWATWSJPLUS.COM/BOTM-JULY20 DJ7961 6 reserved. rights All Co.,Inc. & Jones w Do ©2020 UPLOADED BY "What's News" vk.com/wsnws TELEGRAM: t.me/whatsnws A10|Monday,July13,2020 THEWALLSTREETJOURNAL. FROM PAGE ONE Filing Solo, Theother5%forgoadviceand fun. Brian Kressin, 49, who weekendinFebruarytoprepare blecontributions. years.Correctingthissavedhis gomano-a-manowiththeIRS’s worksfortheU.S.government thefederalreturn. Sometaxknowledgecomes friend$3,000,hesaid. 170-plus forms and instruc- in Saudi Arabia, and who has Thosewhoforgotaxhelpof- atahighprice,atleastintime. Matthew Kneiser has be- Brave Take tions,plusscoresofworksheets beendoinghisownreturnsfor ten say they prize what they Jared Haines, a 30-year-old come the go-to person in his insidethem. 19 years, said he likes seeing learn by doing their own re- state-government attorney in circle for advice on handling They refuse to be intimi- thepilesofdocumentsspread turns. Chris McKelvey, 36, a OklahomaCity,soldahomelast RestrictedStockUnitsandEm- On Taxes datedbymutual-funddividend outaroundhimonthetable. governmentworkerfromRoa- year.Becausehehadrenteda ployee Stock Purchase Plans, reinvestments,depreciationre- “It’s like a big puzzle, with noke,Va.,saidhelookedintoa roominittoafriend,andhad commonattechfirms. capture,foreigntaxcreditsor realmoneyinvolved,”hesaid. tax-favoredHealthSavingsAc- taken$533ofdepreciationon “Lots of people pay double partialdeductionsforanindi- Valerie Eads, a New York count after noticing a deduc- it, he had to give up a small taxesonthosebenefitsbecause ContinuedfromPageOne vidual retirement account. Cityprofessorwhostudiesme- tionforitonthe1040instruc- partofthe$250,000exemption therulesaresocomplicated.I temsandseehowtheywork,” Some,includingMs.Fray,finish dieval warfare conducted by tionsforseveralyears.Thatled sellers are entitled to on the feel empowered knowing how saidMs.Fray,34,atechconsul- up by e-filing the return women,starteddoingherown himtoenroll. profitsfromahomesale. the pieces work,” said Mr. tantfromCarrboro,N.C. through a free IRS program taxeseightyearsagowhenher ArtPrunier,aceramicsengi- Figuring the disallowance Kneiser,a28-year-oldsoftware Shehasbeendoingherown thatprovidesnoadvice. preparerraisedfees. neerfromMidland,Mich.,cred- tookhim20hours.“Still,itwas engineerinSeattle. returns since nine years ago, Many others mail in paper “I said to myself, ‘You can its doing his own taxes for afunexercise,”hesaid. When Mr. Reichmann was whenshestoppedpayingapro- returns,takingcaretosubmit footnoteinfivelanguagesand leadinghimtoakeyretirement Having tax knowledge can dating the woman who’s now fessionaltaxpreparer.Shefills letter-perfectforms. can’tdoataxform?It’stime!’” insight. “I learned that tax provide social benefits. Mr. his wife, he offered to check out the Internal Revenue Ser- “If you have scribbles or said Dr. Eads, who is in her planningisthecenterofretire- Kressin in Saudi Arabia, who hertaxreturn. vice’s forms on her computer cross-outs or use Wite-Out, it mid-70s. ment planning,” said Mr. Pru- manages seven U.S. rental “She hadn’t taken her full withhelpfromacalculator. couldsendamessagethatyou Sherechecksthefiguresat nier,66.Heretiredat53. propertiesfromabroad,isfre- deduction for state and local Ms. Fray is not alone, but didn’tknowwhatyouweredo- least twice to make sure the His most important strate- quentlyaskedbyfriendstore- taxes, and I convinced her to she is rare. According to the ing,”saidJohnReichmann,57, arithmeticisright. gies involve making tax-effi- viewScheduleErentalreales- file an amended return,” said IRS,about95%ofthefilersof ananalystatanelectriccoop- ChrisAlspach,a43-year-old cient Roth IRA conversions tate forms that tax Mr.Reichmann.“Shegotafew 155millionindividualincome- erative.Hehasbeendoinghis oil-and-gas attorney in Mid- over many years, avoiding professionalsprepared.Here- hundreddollarsback,”hesaid. tax returns get assistance in owntaxessince1980. land, Texas, is another filer higher Medicare premiums calls a case in which the pre- “Afterthat,sheknewwewere preparingthem,eitherfroma LikeMs.Fray,thesefolksof- wholikestosavemoney,sohe basedonincome,andmanag- parerneglectedtotakedepreci- destinedtobe‘Married,Filing human being or tax software. ten say they find the process didn’t mind taking an entire inghisrelativelylargecharita- ation deductions for several Jointly.’” Pandemic plate bringing some workers backtocubicles.CitigroupInc. confirmed it is contemplating Gives Boost leasingofficespaceinConnect- icut,amongotherareasinthe greaterNewYorkregion. To Suburbs Darin Buelow, global loca- tionstrategyleaderatDeloitte Consulting, said he has heard morebroadlyoffinancialfirms ContinuedfromPageOne “that are looking at space in been inundated with applica- suburban markets, including tions from New York parents Connecticut, or they’re going making exit plans. Real-estate (3) to.” Suburban offices may professionalssaytheyarealso NAL proveeasiertoaccessinapro- R hearingofincreasedinterestin OU tracted pandemic than high- J cNoemwmYeorrcki-ablaoseffdicfeirsmpsa.ce from REET rtrisaeinssarenadcheleedvatboyrs,choengseasidte.d ST weLlcoocmalethoeffcichiaanlsgecinauattitoituusdlye WALL lixBCehfoarrenethyeapnadndheimsipcahrittn,eFres- afterthestate’ssuburbanfocus HE CrestlineInvestorsInc.werein T helditbackforsolong. OR themidstofacommercialand F “Those weaknesses now R residential redevelopment of A might be our strengths,” said SS thenearlyemptyformerhead- Y ChrisSpaulding,firstselectman KE quarters of Union Carbide in Weston, a town of about ALIE Corp.,whichfledNewYorkCity 10,000 known for top-tier AT forthefuturistic-lookingDan- N schools and its requirement buryofficeintheearly1980s. thatmostresidentialproperty FallingBehind Bought for $17 million, Mr. beatleast2acres. Charneyandhispartnerswere “You see these cars with Connecticutwentintoanewrecessionwithoutrecoveringfromthelastone. bettingtheycouldturnaround NewYorkplatesgoing15miles theflagging1.2million-square- an hour, stopping at houses Changeintotalnonfarmemploymentsince AnnualGDPgrowthrate,2007-19* foot space, which is about 60 with ‘for sale’ signs,” Mr. December2007 milesnorthofManhattan.They Spaulding said. “Before Covid nowhopethewindisattheir 20% wewerekindofmoribund.” Mass(cid:2) 2.0% back. Revenue freefall U(cid:2)S(cid:2)average 1.7% ‘Suburbs are shinier’ 10 N(cid:2)Y(cid:2) 1.6% Connecticutlost$12billion “Theperceptionnowisthat U.S. in GDP from 2007 to 2019— –0.4% Pa(cid:2) 1.5% the suburbs are shinier,” said morethananyotherU.S.state. Mr.Charney,presidentofSum- 0 NYC N(cid:2)H(cid:2) 1.4% This malaise fueled chronic mit Development. “We aren’t –1.3% budget problems even before Vt(cid:2) 1.1% complaining.” Mass. the pandemic sent state reve- Connecticut issued more nueintoafreefall.Thestateis –10 –7.1% Maine 0.7% than 1,900 permits for new N.Y. projectinga$2.5billionbudget –8.8% N(cid:2)J(cid:2) 0.6% housingunitsthisyearthrough holeforthefiscalyearthatbe- May,markingthehighestfigure Conn. R(cid:2)I(cid:2) 0.5% gan in July, and about $3 bil- –20 –16.1% infiveyears. lioninthenextyear. 2008 ’10 ’12 ’14 ’16 ’18 ’20 Conn(cid:2) –0.4% In Westport, New Yorkers Connecticutshedmorethan havedrivenasurgeinapplica- 288,000 jobs in March and tions at the private Greens April,afterneverfullyregain- Changeintypical†homevaluesfromhousingpricepeakpriorto2007-09recession,asofMay2020 FarmsAcademy,HeadofSchool ing the jobs it lost in the Bob Whelan said. The school U.S.average 2007-09downturn. received 65 applications be- Nostate’sreal-estatemarket tween mid-March and early –19(cid:2)8% 0% 17(cid:2)1% 34(cid:2)2% 64(cid:2)5% struggledmoretorebuildhome July, up from 29 in the same valueafterthefinancialcrisis. period last year, along with Wash. Bytheendoflastyear,typical N.H. nearly70inquiries. home values were stuck at Mont. N.D. Minn. Vt. Maine In neighboring Weston, about20%belowtheirpre-cri- Ore. many homes are tucked far sispeak,accordingtoestimates backfromtheroadbehindthe from real-estate company Zil- Idaho S.D. Wis. N.Y. Mass. low stone walls familiar Wyo. Mich. low, compared with a nation- throughoutNewEngland.Real- wideclimbofnearly15%.Popu- Iowa Pa. estate agent Vickie Kelley re- lation declines over the past Nev. Neb. Ohio Conn.: centlysolda$1.2millionhome, fiveyearshaven’thelped. Utah Colo. Ill. Ind. W.Va. –19.8% still under construction, to a Thosedepressedsuburbs— Calif. Kan. Mo. Ky. Va. family relocating from Brook- especially in Fairfield County, lyn. Their need, she said: two acrossfromtheNewYorkbor- Tenn. N.C. R.I. homeoffices. der—are now getting a fresh Ariz. Okla. Conn. Shealsosold12homesina N.M. Ark. S.C. look. Barbara Rosati left her N.J. recentnine-daystretch,mark- home on Manhattan’s Upper Miss. Ala. Ga. Del. ing an unusual flurry for this WestSidetorentinWiltonthis Md. timeofyear.Weston,whichre- Texas spring.Shesaidshehadbeen La. D.C. Weston,top,sawitshome quiresadrivetoaneighboring enamoredwithNewYorkCity’s valuesfallhardafterthelast town to catch the train and energy, abundance of restau- Alaska Fla. recession.BarbaraRosati, doesn’tboastofmanywalkable rantsandchanceencounterson Hawaii middle,becameasuburban amenities, had seen its home the subways, but has quickly convert.BobSprouls,apartner valuesfallparticularlyhard. becomeasuburbanconvert. withBluewaterHomeBuilders, “Ineverthoughtapandemic “I’m out in nature. I’m just saidhiscompanyhasreceived wouldgiveourmarketsucha doingthecompleteoppositeof *ThecompoundannualgrowthrateofstateGDPbetweenbetween2007and2019 †weightedaverageofthemiddlethirdofthemarket aninfluxofinquiriesfromNew push,”Ms.Kelleysaid. Note:Peakhomepricesforeachstatewerebetween2005and2007. what I thought I loved,” Ms. Sources:FederalReserveBankofSt.Louis(employment);BureauofEconomicAnalysis(GDP);Zillow(homevalues) Yorkersafteraquiet2019. EdithandLevRatinov,who Rosatisaid.“I’mnotgoingback havetwoyoungchildren,arein tothecity.” eventuallyemploy1,300people cludedshiftingcancerresearch putsresidentswithincommut- NewYorkerStacieBlack,38, the process of selling their AfterrentinginWilton,the pursuing treatments for HIV, toanexpensiveneighborhood ingreachofNewYork,Mr.Leh- said lower property taxes on homeinacooperativebuilding 55-year-old signed a contract heartdiseaseandcancer. filledwithbiotechnologyfirms mansaid.Thestateisn’tgiving theConnecticutsideofthebor- in northern Manhattan, with forafour-bedroomhomeon3 The economic winds began inCambridge,Mass. uptryingtorevitalizeitsown derareadrawinhercontinu- planstorelocatetoWeston. acresinthetownofEaston. shifting in the early 1990s, The state’s leaders aren’t cities, hesaid. ing search for a house there Ms.Ratinov,aphysicianas- Connecticut’s suburbs have whenatoughrecessionhitthe sure if New York transplants The state’s poor economic andinNewYork’sWestchester sistant,grewupinConnecticut, longhadaseesawrelationship statehard. aretheretostayorjustriding performanceafterthelastre- County.Sheandherfiancére- and Mr. Ratinov, who co- with the nation’s largest city, Political leaders “believed outthestorm,buttheywantto cession will continue to dog cently listed their home on foundedatechnologystartup, benefiting from New York’s theirsuburbaneconomicstrat- keepthem,saidDavidLehman, Connecticut as it tries to re- Manhattan’sUpperEastSide. is a native of Kyrgyzstan who problems,thenlosingoutwhen egy,whichhadbeenverysuc- Gov. Ned Lamont’s top eco- boundfromthecurrentcrisis, “Thehomesthatwecanaf- hassteadilywarmedtotheidea thecityrebounded. cessful in the ’70s and ’80s, nomic-developmentofficial. said Don Klepper-Smith, chief fordinConnecticutareproba- ofsuburbanlife. The last time Connecticut would always carry the state “We are going to market economist at consulting firm bly $100,000 more than the Theywerealreadythinking reapedsignificantrewardswas through,”saidJosephJ.McGee, ourselves more to those indi- DataCorePartners. homes we can afford in about a move, lured by Con- the mid- to late-20th century, whowascommissionerofthe vidualsasopposedtomarket- “Connecticut has dug itself Westchesterjustbecauseofthe necticut’sschools,butthepan- when New York City suffered state’s economic-development ingourselvestothecompany,” into a hole here,” he said. “I taxes,”shesaid. demicspeduptheirplans. fromasurgingmurderrateand agencyintheearly1990s. he said, regarding efforts to thinkthestateeconomyisgo- Ms. Black, who sells event “Winteriscoming.Whatare fiscaltroubles. Connecticut found itself lurebusinesses. ing to underperform for the spaceinthehospitalityindus- yougoingtodowhenyourkids ManymajorNewYorkcom- sandwichedbetweentwomajor nextseveralyears.” try, has been weighing Con- don’tgotoschoolandtheplay- panies decamped to Fairfield metropolitanareas,butwithout Tax boost Along-runningchallengefor necticut’srelativeaffordability grounds are closed?” said Mr. County in the late 1960s and a big city of its own. To the Connecticut is its reputation againstlongercommutetimes. Ratinov,contemplatinganother 1970s,includingindustrialcon- northeast, Boston has grown Ifthisnewcravingforsub- forhightaxes.TheTaxFounda- She isn’t interested in long, school year during an unre- glomerateGeneralElectricCo., 21% since 1990, buoyed by its urbanlivingleadstojusta5% tion, a conservative-leaning daily trips to the city, but is solvedpandemic. energy firm Conoco Inc., positionasalife-scienceboom- increase to the state’s labor think tank, ranks Connecticut willingifshesticksatleastpar- Ms. Ratinov realized that smokeless-tobacco maker U.S. town. General Electric, after force,includingpeopleworking 47th on its state business tax tially to a work-from-home she didn’t mind hunkering Tobacco and Chesebrough- morethanfourdecadesinsub- from home, that would be a climateindex. schedule.“Icouldmanageitfor down at home with her hus- Pond’s, the maker of Vaseline urban Fairfield, Conn., moved hugeboostintaxrevenue,Mr. Thetaxargumentholdsless twodaysaweek,”shesaid. bandandchildren,ages6and beforealateracquisition. itsheadquarterstoBoston. Lehmansaid. swayforNewYorkers.Connect- Commercial real-estate ex- 4,whenshewasn’tatwork. In 1986, pharmaceutical Wallingfordlostitslargest The demand for Connecti- icut’s top income-tax rate is pertssayNewYorkCity-based “Iwaslike:oh,I’mnotsee- companyBristol-Myersopened taxpayer when Bristol-Myers cut’ssuburbshaspotentialfor lower than New York state’s, businesseshavebeenscouting inganybody,I’mjustwithmy asprawlingnewresearchlabin SquibbCo.shutdownitslab,as the entire state, but particu- plusNewYorkCityalsocollects suburban offices, including in familyandI’mhappy,”shesaid. Wallingford,Conn.,thatwould part of a larger move that in- larlyforFairfieldCounty,which anadditionalincometax. Connecticut, as they contem- “That’swhatdiditforme.”
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