ECONOMICS

Rishi Sunak and Liz Truss are among the Conservative politicians that are being named as possible replacements for Prime Minister Boris Johnson should he leave.

A group of business leaders from Michigan and Metro Detroit joins us on Flashpoint to address the economic situation in the state.

Here’s our coverage of the situation from the past few weeks in Metro Detroit.

Michigan’s economic development agency has named a new leader, hiring the top economic development official in New Orleans for the role.

DETROIT – The COVID pandemic has impacted nearly everyone’s finances, but outside of that misfortune may be a silver lining. With many experiencing loss of jobs and/or businesses and lower income this year, the pandemic has forced us to take a closer look at our finances and consider new options to save money -- and a Roth IRA conversion might just be what the doctor ordered. You might be able to help yourself by taking invested assets in a pre-tax traditional individual retirement account and move that money to a Roth IRA. “You have to pay taxes when that conversion gets made, but once its in the Roth, it’s in an income tax-free investment, which is a significant benefit,” said Planning Alternatives Certified Financial Planner Nathan Mersereau. Individuals should not attempt to set up a Roth conversion on their own and are encouraged to speak with a certified financial planner or financial advisor before pulling the trigger.

DETROIT – 2020 has been a unique year with the pandemic, and yet the stock market has done well. So what are the investment prospects for 2021 and what should you do to protect the money you have already saved? It’s been more than a decade since the great downturn and auto company bankruptcies, and investors have become used to rising markets again. A focus on diversity is more important than ever as the economy recovers, but financial markets always look further down the road. “We could see some serious inflation in upcoming years, but we could also see or see some serious deflation,” Foreman said.

The Coca-Cola Co. said on Thursday, Oct. 22, 2020, it saw gradual improvement in the third quarter, as it turned its focus to emerging leaner from the global pandemic. (AP Photo/Gene J. Puskar, File)Coca-Cola measured gradual improvement in the third quarter as it focused on emerging leaner from the global pandemic. The company saw sales improve in India, Brazil and Japan in the third quarter, for example, but Mexico's recovery has been below expectations. Topo Chico Hard Seltzer — a boozy version of a popular Mexican mineral water — is a rare foray into alcohol for Coke. Topo Chico Hard Seltzer is already sold in a handful of cities in Latin America.

ANN ARBOR – University of Michigan alumnus Paul Milgrom was awarded this year’s Nobel Prize in Economic Sciences. Milgrom, who graduated in 1970 with a bachelor’s in mathematics, was recognized with the prestigious international award for his work in improving auction formats. Using auction theory, the duo designed new auction formats for buying and selling nonphysical goods like radio frequencies. The moment Milgrom found out he won the Nobel Prize was captured on his home security system. Analyzing auction formats can be challenging because bidders make unilateral, calculated decisions based on the value of what they are bidding on.

OAK PARK, Mich. – Stanford University Professor Paul Milgrom didn’t know he had won a Nobel Prize in Economic Sciences because he was asleep. “My phones were all set up for Do Not Disturb...The co-winner, Bob (Robert) Wilson, is also my neighbor across the street. He came over at about 2 a.m. and was pounding on my door," said Milgrom, who graduated from Oak Park High School. Milgrom and Wilson, who is also a professor at Stanford University, won the Nobel Prize for improvements in auction theory. “Milgrom designed a general theory of auctions that takes into consideration common values of auction markets as well as private values, which vary from bidder to bidder,” read the release.

DETROIT – Many people have questions about the $1,200 government economic payments the IRS sent out. For those who haven’t received them yet, the IRS is saying it’s likely they are in the mail. If you get these and are still awaiting a check, there is an IRS website called “Get My Payment,” and you can answer security questions and have a check sent. Finally, many wonder if these payments are going to be taxable as income for this year’s tax return. Click here to get more information from the IRS website.