HICKS: What happened in California could happen here
California can no longer sustain its government. This is the lesson for Indiana.
Economic Analysis
Articles
ECONOMIC ANALYSIS: Stimulus plan must work now … or it never will
The postmortem and dissection of the federal economic stimulus plan have begun in earnest. The president has added to his woes by saying the stimulus will take years, not months, to work, and his chief economist managed to squeak out the headline or two that the worst is ahead of us.
HICKS: Muncie’s status quo is high taxes, poor service
Property-tax caps, as well as a dwindling population and commercial base, have left Muncie in the uncomfortable
situation of cutting budgets. Since the bulk of costs are related to fire and police salaries, few options
are available. The city has turned to the short length of rope the Legislature offered amid the debate
on property tax caps—the Local Option Income Tax.
HICKS: The gift of John Fisher went beyond business
It would be artless this week to write an article on economics and business in Indiana without remarking upon the passing of John Fisher. Much has been written about his legacy over this past week, so I will make do with an anecdote and a lesson I have learned from him.
HICKS: Certain unemployment causes worse than others
Unemployment often is a necessary and natural part of a healthy economy. But job losses that come when workers or even entire
industries become redundant are especially painful.
HICKS: Recessions end, with or without government help
The worst is likely behind us, but difficult times lie ahead, especially for the unemployed.
HICKS: Muncie’s budget woes point to a troubled system
Yhe budget concerns that Muncie and other local governments face are really a circular problem. Taxes got out of hand largely
because of an 18th century system of local government. That same system cannot fix the problem–for it is the problem.
HICKS: Management’s complicity with union doomed GM
General Motors Corp.’s bankruptcy marked the second-largest commercial failure in modern history. It is an opportunity for deep reflection.
HICKS: Administration demonized ‘investors’ in Chrysler deal
Almost one-third of Chrysler’s investors are schoolteachers, college administrators, firefighters and police officers. These
“vultures” of Wall Street finance have seen the value of their hard work severely hampered by the Chrysler bankrutcy plan.
Holiday a reminder of the value of public service
Many lament the loss of what might be called timeless values. I place these into two categories; both are exemplified and sustained by military service.
State tourism advertising poses tough question
If Indiana is to be marketed as a region, government will be the one to do it.
EPA policies cannot force economic choices
We are at a critical moment in environmental policy. We suffer a dearth of frankness on the matter that imperils the quality
of our decision-making.
Build your economy by assessing community
Hard times present a fitting opportunity for communities to engage in useful self-reflection. In this case, deep thinking on the regional economy could best be served by focusing on the fundamentals first, not the outcomes.
‘Buy local’ offers no protection for bad businesses
These days, the "buy local" crowd seems to have a stronger voice. I am gleeful about this for a variety of reasons, but it
is helpful to view some of their claims with a bit of skepticism. At least that is what economists should do.
Cap and trade could be double-edged sword
Cap and trade could lead us to a much cleaner, more prosperous future or it could devastate our economy.
The tax system has fluctuated throughout the ages
Let’s reflect on the origins of the current income tax system to help understand it better.
Bonus outrage poor excuse for good public policy
The wages paid by a company to its employees are a distinctly private matter.
Improving livability is economic development
I am often asked the seemingly simple question, "Just what is economic development?"
Answer to stimulus formula equals inflation
When economists worry about the health of the banking system, it is primarily because we are concerned with a stable velocity
of money.
Market, not bailouts, should stimulate refinancings
Markets, no matter how imperfect, not government programs, manage the economy.