The great federal data disappearing act

Summary

Marketplace Morning Report: Episode Summary Title: The Great Federal Data Disappearing Act
Release Date: February 18, 2025
Host: David Brancaccio

---

1. The Vanishing Act of Federal Data

In this episode, David Brancaccio opens with a pressing issue: the disappearance of crucial federal data sets. Amid directives from former President Trump and initiatives led by Elon Musk targeting government waste, several government data repositories have become inaccessible. This poses significant challenges for researchers, economists, and business planners who rely on this information.

Notable Quote:
David Brancaccio highlights the gravity of the situation by stating, "When government data goes poof..." (00:01).

2. Impact on Businesses and Economic Research

Kimberly Adams reports from Marketplace, emphasizing the tangible effects of missing data on the business sector. At RSM, a tax and consulting firm, Chief Economist Joe Brusuelas has observed the absence of key data related to housing and consumer demand, which are essential for informed decision-making.

Notable Quotes:
Joe Brusuelas underscores the issue: "Gender, identity and race are things that I could have looked at a couple months ago. Now it's not available" (00:41).
Anjali Atraker adds, "Without that data, you're kind of just flying blind" (01:36), highlighting the precarious position businesses are in without reliable data.

3. The Struggle for Accessible and Affordable Data

The episode delves into the complexities surrounding data accessibility. Amy O'Hara from the Association of Public Data Users points out the fluctuating nature of online data availability and the risks associated with losing key federal datasets. Anjali Atraker further explains that replacement data is not always a feasible solution, as purchased data may lack accuracy and comprehensiveness.

Notable Quote:
Anjali Atraker emphasizes the challenge: "And buying data that used to be free adds to the cost of doing business" (01:17).

4. Legal and Corporate Shifts in Delaware

Transitioning from data concerns, Brancaccio discusses bipartisan legislative moves in Delaware aimed at making corporate regulations more lenient. Proposed changes seek to restrict the ability of shareholders to sue corporate board members and directors. This has led major companies like Meta and Tesla to consider reincorporating in states with more favorable corporate laws. A significant case mentioned involves a Delaware judge ordering Tesla CEO Elon Musk to return $56 million, a ruling that remains unaffected by potential legal changes.

5. Foreign Aid Freeze and its Dire Consequences on HIV/AIDS Initiatives

A pivotal segment features a conversation with Anjali Atraker, Deputy Executive Director at the Joint United Nations Program on HIV/AIDS. The discussion centers on a recent federal judge's order to lift the Trump administration's freeze on foreign aid, which had already been causing disruptions despite exemptions for critical life-saving work.

Notable Quotes:
Anjali Atraker warns of severe repercussions: "What happens is we will see an increase by tenfold of people dying from AIDS..." (05:33).
She elaborates on the aid flow process and the precariousness faced by implementing partners: "Funds flow from the State Department to the headquarters of these various implementing agencies..." (04:26).

The potential fallout includes a staggering rise in AIDS-related deaths and new infections, jeopardizing the goal of ending AIDS by 2030.

6. Technology and Privacy Concerns: The Deep Seek AI Chatbot

Concluding the episode, Brancaccio touches on the tech sphere, specifically the discontinuation of the Deep Seek AI Chatbot developed in China. South Korean officials have ceased downloads of the chatbot due to user privacy concerns. Additionally, there's a bipartisan push in the U.S. to ban Deep Seek from government employees' phones, reflecting ongoing apprehensions about data privacy and security in AI applications.

---

Conclusion

This episode of the Marketplace Morning Report sheds light on the intricate web of issues surrounding federal data accessibility, corporate legal maneuvers, critical impacts of foreign aid policies on global health initiatives, and emerging privacy concerns in technology. Through expert interviews and in-depth analysis, the report underscores the profound implications these developments have on businesses, governance, and public welfare.

---

Produced by Nick Perez, Ariana Rosas, Alex Schroeder, and Erica Soderstrom. Senior Producers: Meredith Garrett and Morby. For Marketplace Morning Report, powered by American Public Media.

Transcript

[David Brancaccio]

When government data goes poof, I'm David Brancaccio. Amid the cascade of directives from President Trump and the Elon Musk led team looking for government waste, several sources of government data vanished, with the data sets, in some cases no longer accessible. Researchers, economists, business planners are among those who can't see them. Marketplaces Kimberly Adams reports there is a cost when data goes away.

[Kimberly Adams]

At tax and consulting firm rsm, data is crucial to help their clients decide how to do business. Joe Brusuelas is RSM's chief economist and has already noticed some key pieces of data related to housing and consumer demand are missing.

[David Brancaccio]

Gender, identity and race are things that I could have looked at a couple months ago. Now it's not available.

[Kimberly Adams]

What data is and isn't online is in flux, says Amy O'Hara, president of the association of Public Data Users. But the risk of losing key federal data sets has researchers, think tanks and businesses scrambling.

[Anjali Atraker]

You can't always buy a replacement, and what is sold may not be accurate or comprehensive. And plus, a lot of times the organizations that sell data, they have used public data to build their models.

[Kimberly Adams]

And buying data that used to be free adds to the cost of doing business. Maggie McCullough is CEO of PolicyMap, which sells custom maps and data ranging in costs from thousands to tens of thousands of dollars. But Policy Map also relies on federal data to build many of its products.

[Anjali Atraker]

Without that data, you're kind of just flying blind.

[Kimberly Adams]

And she says without detailed data, it's harder to invest, run a business or govern the country. In Washington, I'm Kimberly Adams for Marketplace.

[David Brancaccio]

Also, China has a history of turning off uncomfortable economic data like the youth unemployment rate. And there are bipartisan moves in Delaware to go easier on the corporations that choose to register there. State lawmakers have now proposed changes to limit the ability of shareholders to sue corporate board members and directors. Some companies, including Meta and Tesla, have threatened to reincorporate in even more corporate friendly states. A Delaware judge last year forced Tesla CEO Elon Musk to disgorge $56 million and a half to pay raise rescinded Changing Delaware law in the future should not affect that existing case. Late last week, a federal judge ordered the Trump administration to lift its freeze on foreign aid, citing damage to US Small businesses and nonprofits involved in this work. Among those who have spoken up about the disruption are HIV and AIDS organizations. They point to some operations getting shut down despite the fact that an order by the US Secretary of State now exempts critical life saving work from the freeze Anjali Atraker is a Deputy Executive Director at the Joint United Nations Program on HIV and aids. She spoke with my colleague Novo Safo.

[Novo Safo]

While the administration has said work can continue on life saving activities, it's not clear to organizations on the ground whether HIV treatment and prevention is life saving activity, is that right?

[Anjali Atraker]

So in this waiver, you know, comprehensive treatment, testing and prevention of mother to child transmission to ensure babies are born HIV free are covered, these are activities that are covered. The problem is that we need to make sure that that waiver is fully implemented. That's not currently the state of affairs right now. What's also equally important is what's not included in the waiver prevention services that will absolutely be critical in the HIV response. We need to ensure that new HIV infections are halted.

[Novo Safo]

Can you explain how aid flows? Because it's not a question of necessarily. The government provides the money and then it's spent. It's spent and then the government provides the money. Right? Is that the crux of the problem here?

[Anjali Atraker]

So funds flow from the State Department to the headquarters of these various implementing agencies, including usaid, cdc, the Department of Defense and there are others through cooperative agreements or grants to implementing partners at the country level. They also need to make sure that if they do not have the funds, which in this case a lot of the funding has stopped, they need to be able to be reassured that they will indeed be reimbursed for those funds.

[Novo Safo]

Are there groups now doing HIV prevention work, treatment work that are closing shop?

[Anjali Atraker]

Many of the implementing partners, many of the groups have indeed closed shop. We've also seen community drop in centers where people living with HIV and AIDS would normally go to get tested, pick up their life saving medicines. They will come to the clinic and the doors will be closed.

[Novo Safo]

What happens if these disruptions are not resolved or if the AIDS stops flowing?

[Anjali Atraker]

What happens is we will see an increase by tenfold of of people dying from AIDS. Currently it's 630,000 deaths per year. We will see that increase to 6.3 million over the next four to five years for new infections. Currently there are 1.3 million new infections a year. What we will see over the next four to five years is an exponential jump to 8.7 million new infections. That goal of ending AIDS by 2030 will not be achievable if all of this turns off.

[Novo Safo]

Dr. Angeli Atraker, Deputy Executive Director at UNAIDS. Thank you very much for speaking with me.

[Anjali Atraker]

Thank you so much.

[David Brancaccio]

And Deep seek the AI Chatbot developed in China that runs efficiently and cheaply can no longer be downloaded. In South Korea. Officials who worried about user privacy People in South Korea already using Deep Seq can keep it in the U.S. a bipartisan group of elected officials wants Deep Seq ban from the phones of government employees. Again, privacy concerns. Our producers are Nick Perez, Ariana Rosas, Alex Schroeder and Erica Soderstrom. Our senior producer is Meredith Garrett's and Morby. I'm David Brancaccio. This is the Marketplace Morning report.

[Novo Safo]

From.

[David Brancaccio]

Apm, American Public Media.