State Economy

JUST RELEASED: Coming Up Short

As the end of the year approaches, it is a good time to reflect upon what have lawmakers done this past year to address poverty. The scourge of poverty that exists in every Tar Heel community demands sustained and systemic attention. Very few lawmakers give people struggling with economic hardship the attention that they deserve—not in policy agendas, not at the policy tables, and not in public speeches.

Click here for a slideshow that documents the top six ways lawmakers came up short in their responses to poverty in 2015. For more analysis of poverty in North Carolina, check out our 2015 report North Carolina’s Greatest Challenge.

                

ABOUT OUR STATE ECONOMY WORK

North Carolina’s economy is not only struggling to rebuild after the Great Recession but also experiencing the effects of a longer-term economic transformation in the industries and jobs that are growing. These broader economic trends and the fiscal decisions made at the state level impact family’s economic hardship and the opportunities available in communities across the state.

Public policy can have a significant impact on North Carolina’s economy. State investments in economic development, workforce development, and job creation can open doors to opportunities for the state’s most struggling communities. However, poorly developed policies can undermine economic growth, exacerbate long-term unemployment, and rob certain groups and geographic areas of economic security.

Poverty, Inequality and the State of Opportunity – 1 in 5 North Carolinians live in poverty and many more struggle to make ends meet. Over time as the economy has grown and transformed so too has inequality and the effects on opportunity for all North Carolinians has been significant in terms of economic mobility and the vibrancy of our middle class. The Budget and Tax Center publishes regular analysis of poverty, inequality and the state of opportunity as well as analyzes proposals that would support North Carolinians struggling today and build greater opportunity for the future.

Economic and Workforce Development – North Carolina’s approach to economic development primarily involves giving millions of dollars in subsidies to already-profitable businesses, and often any new jobs these subsidies create do not benefit economically disadvantaged counties or populations. The Budget and Tax Center publishes analyses of current economic development programs and develops alternative proposals that could create widespread opportunity across the state. This requires as well a strong workforce development system that provides for career pathways in growing industries that pay living wages and it will be increasingly important for North Carolina’s community college system and university to remain affordable and innovative at supporting students young and old into the workforce.

Communities of Opportunity -- Communities across the state are dealing with the significant challenges of population growth, demographic and industry shifts and fewer public dollars to build an infrastructure of opportunity for all. The Budget and Tax Center works to analyze and develop proposals to support equitable development across the state with a particular focus on how transportation, housing and job opportunities are interconnected.

The Labor Market and Economic Growth – The functioning of North Carolina’s labor market is critical to the sound functioning of the state’s economy. The Budget and Tax Center monitors the labor market and other indicators of how the broader economy is faring with an eye to understanding the impact on individual North Carolinians. In addition, the Budget and Tax Center publishes reports on North Carolina’s unemployment insurance system and creates proposals on how North Carolina can better support unemployed workers and increase access to quality jobs.