Perhaps no sector in the U.S. economy generates more angst than manufacturing. Over the past quarter century, manufacturing has hemorrhaged over 5 million jobs. The devastation of many regional economies, particularly in the Midwest, is testament to this decline. If the information sector has been the golden child of the media, manufacturing has been the offspring that we pity but can’t comfortably embrace. read more »
Over the past decade, Southern California has lagged well behind its chief rivals – New York and the Bay Area, as well as the fast-growing cities of the Sun Belt – in everything from job creation to tech growth. Yet, in what the late economist Jack Kyser dubbed “the creative industries,” this region remains an impressive superpower.
By creative industries, we mean not just Hollywood’s film and television complex, which remains foundational, but those serving a host of other lifestyle-oriented activities, from fashion and product design to engineering theme parks, games and food. We may be lagging Silicon Valley in technology and New York in finance or news media, but when it comes to entertaining people, and defining lifestyle, the Southland remains a powerful, even primal, force. read more »
Pew Charitable Trusts recently posted an analysis of population projections that show several states with stagnant to declining workforces.
This means that for nearly 20 states, it’s basically impossible to add jobs in the future. How can you add more jobs with fewer workers? read more »
Arguably the most critical industry in the new economy, information is also often the cruelest. It is the ultimate disruptor of jobs and growth, blessing some regional economies but leaving most in the dust. Overall, the sector accounts for almost 3 million jobs, but it has only added a paltry net 70,000 jobs over the last five years. read more »
The mainstream media are having a field day, and rightfully so, chronicling the meltdown of the once-formidable Republican Party. Less focus has been placed on what may be equally, or greater, divisions emerging among Democrats, both in California and around the country. read more »
In his still improbable path to the White House, Donald Trump has an opening, right through the middle of the country. From the Appalachians to the Rockies, much of the American heartland is experiencing a steady decline in its fortunes, with growing fears about its prospects in a Democratic-dominated future. This could prove the road to victory for Trump. read more »
Book Review: "The Rise and Fall of Urban Economies: Lessons from San Francisco and Los Angeles." Michael Storper, Thomas Kemeny, Naji P. Makarem and Taner Osman; Stanford University Press, 2015.
How and why do places differ in their pace of economic development? Why do some flourish while others lag? These are among the most profound questions in economics and related fields. Are explanations found in geography, culture, institutions, or fortune? read more »
Throughout the recession and the decidedly uneven recovery, Southern California has tended to lag behind, particularly in comparison to the Bay Area and other booming regions outside the state. Once the creator of a dispersed, multipolar urban model – “the original in the Xerox machine” as one observer suggested – this region seems to have lost confidence in itself, and its sense of direction. read more »
Housing affordability has been a tenacious and intractable urban problem for as long as stats have been kept. Several cities recently declared it a crisis. But what kind of problem is it? Opinions vary widely. An economic problem, or a social one? A land resource issue? Or, as traded wisdom would have it, the result of reliance on the wrong urban form? Proposed solutions vary accordingly. Now, new evidence rules out one potential source of unaffordable housing: clearly, it is not an urban form problem. The widely-believed theory that a city's lack of affordable housing can be fixed with increased compactness — when combined with public transit — is apparently wrong. read more »
When we look at how the U.S. economy is performing, we usually focus on the largest metropolitan areas. But some 29% of non-farm jobs in the U.S. are in small and midsize metro areas. And since they tend to be less economically diverse and more volatile, these metro areas often are where we can more clearly see the fissures in the economy — the sectors that are growing, and which are shrinking. read more »