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Business-targeted tax cuts do not improve state economies

economic_growth

FROM a London School of Economics and Political Science paper by Soledad Artiz Prillaman and Kenneth J Meier (my emphasis): Studying the 50 U.S. states over the past four decades, we find that tax incentives to businesses prove unhelpful in stimulating economic growth and may even be harmful to state economies. Over the past 30 […]

What we know and what we (should) know that we don’t know about minimum wage increases

Minimum-Wage-101

FROM a piece in the in the BDN regarding the minimum wage debate: Democratic candidates for Maine governor and the U.S. Senate joined former Ohio governor and U.S. Rep. Ted Strickland and Portland Mayor Michael Brennan on Tuesday to call for an increase in the minimum wage, expansion of health care benefits and other steps […]

Advanced Degrees and Job Growth

economic_growth

THERE’S been some discussion in Maine about the need to increase educational attainment of the state’s workforce to boost job growth.  While such discussions garner support, and the notion that Maine’s job growth would accelerate with a more educated workforce, there are some questions about the efficacy of education as an engine for economic growth. […]

Lies, Damned Lies, and Maine’s Unemployment Rate

Maine U-3 and U-6

THERE’S been much debate about the state’s economy and labor market.  While both continue to improve following the depths of the recession, some have suggested that the labor market is struggling as evidenced by the state’s slow growth rates relative to the rest of the nation.  However, this argument is flawed because the state-to-state or […]

On Ending Economic Bidding Wars Among the States

bidding-wars

AS reported by the LA Times, a four state bidding war for Tesla’s battery plant was finally settled earlier this month, with Nevada ‘winning’ the bid.  In exchange for the electric car maker’s roughly 6,500 jobs, Nevada’s bid included: Tesla will get more than $1.25 billion in tax breaks and other incentives.  That includes up […]

Degree Inflation and Amy Volk makes too much sense

Flickr_MindTheGap_800px

FROM a recent BDN piece (my emphasis): UMaine President Sue Hunter, who was appointed in June, spoke recently with the Bangor Daily News about her goals, the challenges the university faces and the role the university should play in the state’s economic future. . . .  A part of it is when you look at educational attainment […]

What’s actually alarming about the Portland study

Portland employment

From the PPH (for the BDN piece): Portland is losing ground at an “alarming” rate, according to a new study examining nearly 30 indicators of where the city’s economy is headed. Portland’s Economic Scorecard 2014-2015, to be released Tuesday by the Portland Community Chamber, shows that the city has experienced lackluster improvement – or no […]

Corporate Taxes and Job Growth: Repatriate like it’s 2004

corporate-tax

IN a recent piece for the PPH, Steve Robinson suggests that lowering the corporate tax would be a boon for the American worker with higher wages and greater job opportunities via increased domestic investments: In contrast, Canada’s combined federal and provincial rate, at 26.3 percent, allows Canada-based businesses to be far more competitive in an increasingly […]