“Dynamism in Retreat: Consequences for Regions, Markets, and Worker”, a February 2017 report from the Economic Innovation Group provides interesting evidence that the US economy has been loosing its innovative edge and that the slowdown in enterprise creation is exacerbating regional differences in the US economy. “From 2010 to 2014, five metro areas alone produced the same net increase in firms as the rest of the country combined: New York, NY; Miami, FL; Los Angeles, CA; Houston, TX; and Dallas, TX. They accomplished this while containing only 17 percent of the country’s jobs.”1 This is further evidence of the bicoastal and increasingly concentrated structure of the US economy. Vast swaths of the US are loosing ground compared to these more dynamic areas. The report closes with an analysis of the causes of these trends.
Here are a few graphics illustrating some of the findings:
Metro areas powering the national increase in firms over four recent expansions
NYTimes reports that one-time bonuses are the preferred pay strategy vs pay raises.Mysteriously the Times leaves out the role of unions and the long-term fall in unionization rates in the private sector in the US. —>> read more –>>
The title of this short book, only 130 pages, Building the New American Economy: smart, fair, & sustainable by Jeffrey D. Sachs with a foreword by Bernie Sanders (Columbia University Press, 2017) is unfortunately misleading. —>> read more –>>