Evidence from state “fiscal laboratories” shows spending cuts hurt growth and jobs

Owen Zidar is an Economics Ph.D. student at UC Berkeley focusing on public finance topics at the intersection of labor economics and macroeconomics. He recently worked at the Council of Economic Advisers on housing, finance, and tax policy.

By tracking the results of different states’ fiscal policies, economists are finding out what kind of economic medicine helps – and harms – job creation. Here’s what they’ve learned:

Bad math: Corporate lobbyists, conservative think tanks hawk snake-oil economics for WA

Selling Snake Oil

Economist Arthur Laffer is touted as a go-to source of wisdom by conservative think tanks and corporate lobby groups in Washington state. But a recent report shows his economic prescriptions are more likely to hurt than heal our economy.

I-Squared Equals I’m Screwed

unemployment rates

This January, Senators Hatch and Klobuchar introduced The Immigration Innovation Act, known as “I-Squared.” It will triple the number of foreign temporary workers from about 800,000 to over 2.3 million. This will distort the labor market for jobs in science, technology, engineering and math (STEM), which has only 4 million workers all told. I-Squared will seriously depress the domestic STEM labor market.

“Leaning in” is a start – but it’s not enough. Here’s why.

Kristin Rowe-Finkbeiner, host of "MomsRising Radio" (and EOI board member!)

Childcare costs more than college. Mothers with equal resumes are hired 80 percent less of the time than non-mothers and are offered lower starting salaries. It costs over $200,000 to raise one child from birth to age 18 (not including college). All of this is happening every day in the backdrop of a national a […]

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