This inequality debate is nothing but potential trouble for economic developers? An economic developer can potentially produce inequality no matter what he or she does. The first step in dealing with inequality is to understand what causes it. For one answer we turn to Brink Lindsey, Human Capitalism: How Economic Growth Has Made Us Smarter–And More Unequal. Lindsey presently with the Cato Institute was a former Senior Research Fellow at Kauffman. His argument turns knowledge-based economics, a popular economic development approach, on its head–suggesting it inadvertently plays a major role in causing inequality.
I’ve been reading stuff lately about the goings on in New York City. The new De Blasio administration is proclaimed by many to be the wave of the future? For me it’s too early to tell. Only fair to give the poor soul at least a full year before we see what his new approach shakes down to be. […]
Innovation has become the rage du jour in economic development. Politicians, especially governors, have incorporated it into their state economic development platforms and policy initiatives. What is this innovation thing and how has it changed in recent years? And why has innovation become so pervasive in state and local economic development public policy?
Communities, even in the same state, want different things from economic development. They choose similar policies and programs sometimes, but “operate” their economic development programs in rather distinctive ways. And so, political culture enters into the day-to-day of economic development.
A few weeks ago we published Part I of our commentary on the Lincoln Institute of Land Policy report, Regenerating America’s Legacy Cities by Alan Mallach and Lavea Brachman. To refresh the reader, the Lincoln Institute report defines and identifies eighteen “legacy cities” as central cities with a minimum population of 50,000 (2010) who have suffered more than a twenty […]
It’s no secret in economic development that some American cities are in deep, deep trouble. They are deep into a hole that at times seems bottomless. Detroit made the headlines in recent months, but we all know that many Great Lakes big cities and several older manufacturing centers have very serious issues. The Curmudgeon spent […]
As an economic developer you’re not supposed to do it–pick winners, that is! Can’t really be done, we’re told–just like timing the stock market. This advice is a truism and like all truisms, it’s true up to a point. No doubt it is correct that one cannot consistently pick winners and avoid losers. There’s one problem […]
Like it or not, the Detroit bankruptcy filing is a page turner. What insights and lessons might an economic developer glean from it? That is our task in this issue. Since July 18th when the City of Detroit filed for the nation’s largest ever (in terms of debt) municipal bankruptcy, the Curmudgeon has been buried under an avalanche of different ideas explaining […]
This article examines some of the methodological underpinnings of state economic rankings and what this means for interpreting rankings. State rankings typically are comprised of multiple measures and indicators, and the creators of these indexes face a difficult decision concerning which measures and indicators to include or exclude when making an overall ranking. This issue is compounded when rankings employ different weights to different components of measures and indicators, valuing one measure or indicator over another. We construct a hypothetical state ranking of entrepreneurship and innovation to demonstrate issues with selecting state economic rankings are both pervasive and popular.
The New Normal II: Economic Developers, Export, and the Global Finance and Trade System
Fault Lines: How Hidden Fractures Still Threaten the World Economy by Raghuram Rajan
Now the Curmudgeon trespasses into the world of export, global finance, and trade. Boundaries obviously mean little to him–should they mean much more to you our community economic developer? Is export more risky than often portrayed? Plus an added feature–how the Fault Lines of Global Finance brought the United States into the New Normal. How did forty years of stagnant wage and income levels lead to the accumulation of massive amount of debt that made financial collapse unavoidable?