The pursuit of economic opportunity for all Americans is as important to the health of the country’s economy as it is to the strength of its democracy. The promise that hard work and determination will yield economic success is a central American ideal, but it has been called into question as secular economic forces and institutional changes have reshaped the American economy and had an uneven impact on Americans’ ability to prosper.
Timothy Bartik of the W.E. UpJohn Institute argues that large and persistent differences in employment rates across U.S. places highlight the need for local economic development policies to better promote cost-effective job creation in distressed areas.
State-level Minimum Zoning Mandates (MZMs) allowing landowners to build at a state-guaranteed minimum density, even in municipalities resistant to development, would be an effective means of encouraging denser housing development. These MZMs would improve housing affordability, spread economic opportunity more broadly, and limit the environmental impact of new development.
Over the course of the past year, the Aspen Economic Strategy Group collected policy ideas to address the barriers to broad-based economic opportunity and identified concrete proposals with bipartisan appeal. These proposals are presented here.
The Economic Strategy Group's third annual policy volume focuses on the economics of the middle class, geographic disparities in economic opportunity, and U.S. policy options to address climate change.
In order to stimulate employment in rural areas, author James P. Ziliak proposes a two-fold strategy of bringing “people to jobs” and “jobs to people,” an approach that combines people-based and place-based policies. The people-based policies include relocation assistance payments for those willing to make a permanent move to a new job, as well as a short- term credit for commuting expenses tied to a new job without residential relocation.
Since 1980, college-educated workers have been steadily moving into affluent cities while non-college workers have been moving out. At the core of understanding why non-college workers (defined by author David Autor as workers without a bachelor's degree) are no longer flocking to the cities is the question of push versus pull.
The United States is currently gripped by deep uncertainty and economic anxiety. At the time of this writing, the United States is six months into the COVID-19 pandemic. More than 190,000 Americans have died from COVID (CDC 2020); more than 13 million Americans remain unemployed (Bureau of Labor Statistics 2020); and tens of thousands of businesses remain closed (Grossman 2020). Meanwhile, protests against racial injustice continue across the country, and in a number of tragic instances, they have been overtaken by violence. Wildfires rage through the northern Pacific states. In Oregon, 40,000 people have been evacuated and more than 1,500 square miles have burned. California has already experienced three of the top four largest wildfires in its history in this year alone. Perhaps more than any time in recent memory, the economic future of our country feels uncertain.