🧵The ballot measures last night say a few things about voters’ feelings about the economy.
Here is how they played out.
PAID SICK LEAVE
All three measures requiring employers to provide paid sick leave PASSED (AK, MO, NE)
All 3 states went to Trump
1/x
MINIMUM WAGES and TIPPED Worker Wages
4 states passed measures to increase the minimum wage (AK, MO, NE, AZ)
1 state rejected a measure to erode tipped worker wages (AZ).
All 5 states went to Trump
2/x
CA & MA: The 2 states where the proposed increases in the min wage/tipped worker wage FAILED
*(a note on AZ Prop 138 above; very convoluted framing but it basically would've made it more difficult for tipped worker wages to keep up w/ increases in the state minimum wage)
3/x
INFRASTRUCTURE and CLIMATE
In CA measures to issue bonds for school facilities (prop 2) water & wildfire protection, climate risks (prop 4): PASSED
CA measure to lower the vote needed to approve bonds for housing/infrastr (frm current 2/3rd majority to 55%) (prop 5): FAILED
4/x
HEALTH
CA also PASSED a measure regulating how Federal money from drug reduction programs is spent. Voters want it to go directly to patient care.
5/x
SCHOOL CHOICE
FAILED in the 3 states that introduced measures to amend the state constitutions and allow state money to go to private schools (KY, CO, NE).
All voted Trump.
6/x
PRISON LABOR
In CA measure banning forced servitude (using prison labor as punishment): FAILED.
Prop 6 would have made prison labor voluntary and would have prioritized rehabilitation.
7/x
OTHER
All but two “right-to-abortion” measures PASSED (AZ, CO, MD, MO, MT, NE, NV).
Only in SD and FL the measure FAILED
All “citizenship requirement to vote” measures won (IA, ID, KY, MO, NC, NV, OK, SC, WI)
8/x
While the sample size is small, red states voted for pro-worker policies: wage increases and paid sick leave. CA and MA didn’t, though in CA voters supported measures to strengthen healthcare, schools, infrastructure.
Red states also rejected vouchers for private schools.
9/x
Dems talked about housing & child support, but not nearly enough about the minimum wage, paid family or sick leave
When people say that inflation is their top concern, they're also saying that their jobs and paychecks aren’t allowing them to stay afloat.
10/x
We had the fastest recovery in postwar history and an unprecedented level of government spending.
But as I have said before, as far as working families are concerned, we have pretty much returned the economy to its pre-COVID status quo. And that wasn't pretty.
11/x
Economists fed this complacency with talk about a booming economy and 'full employment' (which it wasn't), celebrating the increases in real wages at the bottom of the distribution, without sounding the alarm that they are not enough to keep up.
12/x
Growth is not enough. That much should have been obvious long ago. Structural economic issues and insecurity still shape voters' lives and continue to shape every dimension of politics. The ballot measures tell us to some degree how voters feel about their standard of living.
13
correction to tweet 6/x:
2 of the 3 states that rejected SCHOOL CHOICE voted Trump (KY, NE). The other state CO voted Harris
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🧵 Labor flows have been softening to a degree normally associated with past recessions.
The slowdown could be bigger than currently discussed🧵
This is our "labor market absorption measure"
The labor market absorption measure shows the ratio of people who were Not in the Labor Force and moved into the Employment category VS those who were NLF and went into Unemployment. It is indicative of how hard it's getting to find a job
Looking at flows is useful b/c most people who get jobs/employment (E) in any given month come from not-in
-the labor force (N), rather than from the unemployed (U). The ratio N-to-E vs U-to-E is softening. Both categories ticked down, as moving into employment is getting harder
Appreciate the thread by @GeorgeSelgin. A note on MMTs view of 'fiscal discipline'.
For MMT at the macro level, prices are influenced by prices paid by govt and this has key implications for policy, esp for 'controlling' spending. We prefer to modulate fiscal policy not by...
...chasing debt/deficit to GDP ratios but by designing better automatic (esp employment) stabilizers. The JG/ELR is self limiting unlike pump priming and works with a fixed price-floating spending mechanism. The goal: full empl, better infl control, distribution, real outcomes
We see lots of waste in govt procurement or, say, the current healhtcare model. And let's not forget interest rates (another key price set by govt), which have balooned interest payments in the budget.
In almost everything I write, I prefer to look at the "way" govt spends
Created by my team at the Economic Democracy Initiative @EDI_tweets, we feature a map with real-world programs that embody some of the Job Guarantee principles. The site also collects academic papers, books, legislative initiatives, surveys, events, FAQs and other information 2/x
In recent years, the Job Guarantee proposal has attracted global attention. From the UN Report on the JG to the new EU Resolution on Job Creation, to the US Green New Deal Resolution, it's a core policy for full and decent employment, economic security & environmental renewal 3/x
🧵I'm pleased to launch a new symposium on Post-Neoliberalism in collaboration with @AAzmanova.
We feature inaugural pieces by Ian Shapiro, @RBReich, @rodrikdani & James Galbraith.
Our project explores two forces that reproduce the neoliberal paradigm: 1/x postneoliberalism.org
1) We focus on precarity as a fundamental force that reproduces the neoliberal economy. We consider illiberalism to be a consolidation of neoliberalism (not evidence of its crisis), largely because liberal democracy has failed to address the question of economic insecurity
2/x
2) We explore the “whatever-it-takes” financing paradigm which uses public money to resuscitate financial markets, profits & investment (often of firms with predatory pricing & labor practices) but fail to secure full employment, the social safety-net, or the green transition
3/x
Despite impressive job growth, labor market slack remains.
The employment level continues to flatline (total and prime age) edi.bard.edu/research/notes/
Labor market flows indicate a slowdown.
We watch a few ratios that tell us the distribution of who gets jobs:
fewer people who were outside the labor force and slightly more who were officially unemployed (this ratio dipped for the first time in 2 years)