Raising taxes now should be on the table
Bob Emerson and John Walsh in a guest column for Bridge lay out a set of principles that should guide Michigan policymakers as they deal with an unprecedented shortfall in state revenue this fiscal year and next. Worth reading! Both are former legislators and state budget directors. Emerson is a Democrat, Walsh a Republican. What I want to focus on…
The case for no red tape cash benefits
The struggles way too many Michiganders are going through to get safety net benefits make clear that we need to go to no red tape cash benefits. The main reason for how difficult it is to get much needed benefits is that the system is designed to catch those who don't "deserve" public benefits. Think the modern day version of…
The case for a cash-based safety net
As we have explored in our lessons from a pandemic-driven economy posts (here and here) what the multitude of low-wage workers need most is cash. Everyday in every Michigan community we see the vast number of low-wage workers––some still working, many who have lost their job––who are struggling to make ends meet. You now don't need data to make the…
Who loses most in a pandemic-driven economy
Insightful analysis from McKinsey on the economic consequences of a pandemic-driven economy. Their headline findings are: We estimate that up to 57 million US jobs are now vulnerable, including more and more white-collar positions. ... Our updated model finds that as of mid-April, 16 percent of workers earning more than $70,000 a year have become vulnerable. However, almost three-quarters of…
The Blanchard recipe for economic revival
As Michigan, almost certainly, faces its most serious economic challenge since the Great Depression, it is worth recalling how Michigan has dealt with previous economic downturns. What follows is a rerun of a post I did in 2012 entitled Jim Blanchard, Jobs and Taxes. It has been lightly edited and the data brought up to date. As many of you…