==“But overall, in the grand scheme of things… the governor isn’t wrong.”==
There are very few who insist that no business reforms are needed. We call them luddites. But the problem has been the ones the Gov has held so firmly to are also the ones that will do the least good economically while doing the most damage politically to his opposing party.
Yes, fix workers comp in a reasonable way. But this union stuff did not cause our problem, it will not solve it, and its silly to demand it when the votes aren’t there in the GA.
“But overall, in the grand scheme of things… the governor isn’t wrong.”
So overall, Rauner’s taking of hostages and refusal of performing his constitutional duties while placing the State in a perilous financial condition isn’t wrong?
Much respect, Rich. You’re a real class act and I think there are some of us - myself included - who read the blog who learn quite a bit from you. Thanks!
“State business climate” is a made-up thing by media publications so they can publish annoying click-through lists.
Texas and Mississippi are virtually identical in their state policies in regards to business and labor. Yet Texas is an economic powerhouse and Mississippi remains a backwater. It would seem state policies are marginally important, at best.
In a state like Illinois, there are many components of the global economy at work at all times — some are up, some are down. There isn’t a “state economy.” That’s an arbitrary economic unit determined by rivers and a straight line at the top.
Nothing in the TA would improve the business climate in IL as much as a budget with enough revenue to put the state’s fiscal house in order and start paying down long-term debt. Would eliminate uncertainty for business + cash back on your taxpayer dollar from improved credit ratings.
The Brian Hopkins weed remark got a lot of play in comments yesterday on the open thread.
lol
- Formerly Known As... - Thursday, Dec 17, 15 @ 1:58 pm:
“Christmas with Rich Miller== sounds like a holiday special on ==Masterpiece Theater==
10 for 10 on the quotes and the analysis.
- IL17Progressive - Thursday, Dec 17, 15 @ 2:22 pm:
No, Rich, In the grand scheme of things Gov. Bruce IS WRONG. I take ‘grand scheme’ meaning the general societal interplay of people.
A couple concepts - 1 A successful capitalistic business ALWAYS TAKES OUT MORE, i.e, profits, than it contributes (pays for wages, materials, etc.). 2 The end result of capitalistic process is a society with characteristics of feudalism, oligarchy, authoritarianism which are the antithesis of democratic ideas.
NOTHING in the Gov’s corporate welfare agenda will significantly enhance the general economic state of the majority of citizen’s. But, a few will receive mega returns, i.e., increasing inequality and building a feudalistic society.
Please, Rich, provide the economic analysis which identifies exactly how, when and what rate any of the ten basic ideas of the BS Rauner agenda maximizes benefits to the maximum number of people. No, the BS Reagonomics platitude of ‘biz creates jobs’ is not economic analysis. People with needs (routine or unfulfilled) create jobs.
I watched the video, it really created more questions than provided answers.
I don’t believe that the lack of businesses south and west of downtown Chicago is attributable to the cost of workers comp insurance.
The cost of workers comp insurance also has nothing to do with the increase of warehouse buildings north of Lafayette on the I-65 corridor but has more to do with Purdue’s engineering programs and Indiana’s repeal of their personal property tax on business inventories.
Rauner has only funded court mandated budget items and what Rauner knew would have the votes to override a veto.
As far as meeting Madigan halfway, Rauner did not bend, he just recognized that he couldn’t hold that hostage much longer.
Rauner is not only holding the citizens and venerable hostage,
Rauner is also holding State vendors and contractors hostage. Businesses are also being held hostage.
Rauner’s turn around agenda would not help the business climate of Illinois.
There is and should be a symbiotic relationship between businesses, customers and their communities.
The vast majority of the State’s corporate welfare is disproportionately given out to the corporations with abilities to lobby the State legislature and negatively portray the State’s true business climate in the media.
Rauner’s plan doesn’t address the majority of the wishes of business owners and fails to recognize that without customers these businesses have nothing to offer.
Rauner isn’t negotiating on the budget, he is holding it hostage until Rauner gets want Rauner and the Koch brothers demand.
You’re right that state governments are tiny players in what drives regional economies. That politician’s claims of such powers are so much hot air.
But please don’t fall into the trap of thinking big co CEOs actually know much about general economics, or that they and their big investors (bosses), and peers (potential hirers), don’t participate together in creating their own political culture. These include responding to images of state brands and “environments.” Being in Chicago says a different thing about a company than being in Houston, Sioux Falls, or LA. Same, to some extent, for states. Governors and legislatures can impact the brand image of states. CEO decisions are somewhat political in nature, and based on image and emotion.
Just because we are technically correct and economically astute, doesn’t mean we can accurately forecast how voters, any voters, will vote on their own economic issues. So it is with selling a state to CEOs as a place to relocate.
Economics and sales don’t perfectly intersect.
You might say that corporate relocation don’t really have much impact anyway, but that’s a different discussion.
- Anonymous - Thursday, Dec 17, 15 @ 7:59 am:
IBHE is starting to develop a plan for the closure of state universities.
- Oswego Willy - Thursday, Dec 17, 15 @ 8:10 am:
Great work yesterday, opened my eyes to some realities, not unlike Goldberg’s role and explanation.
Always more to learn.
- Abe the Babe - Thursday, Dec 17, 15 @ 8:14 am:
==In my opinion, if Hillary Clinton wins for president, her first mid-term is going to be horrible for Democrats==
Likely. But the flip side is if its Trump or Cruz then IL dems might be motivated.
- Joe M - Thursday, Dec 17, 15 @ 8:25 am:
==10. On Gov. Bruce Rauner’s Turnaround Agenda “But overall, in the grand scheme of things… the governor isn’t wrong.”
Rich, care to elaborate on that?
- Abe the Babe - Thursday, Dec 17, 15 @ 8:31 am:
==“But overall, in the grand scheme of things… the governor isn’t wrong.”==
There are very few who insist that no business reforms are needed. We call them luddites. But the problem has been the ones the Gov has held so firmly to are also the ones that will do the least good economically while doing the most damage politically to his opposing party.
Yes, fix workers comp in a reasonable way. But this union stuff did not cause our problem, it will not solve it, and its silly to demand it when the votes aren’t there in the GA.
Get on with it already Gov.
- Chicago 20 - Thursday, Dec 17, 15 @ 8:46 am:
“But overall, in the grand scheme of things… the governor isn’t wrong.”
So overall, Rauner’s taking of hostages and refusal of performing his constitutional duties while placing the State in a perilous financial condition isn’t wrong?
Please explain this Rich.
- Rich Miller - Thursday, Dec 17, 15 @ 8:47 am:
===Please explain this Rich. ===
Watch the video.
Essentially, if you think that we don’t have to do anything to help the biz climate in this state, you’re freaking nuts.
- The Muse - Thursday, Dec 17, 15 @ 9:07 am:
Much respect, Rich. You’re a real class act and I think there are some of us - myself included - who read the blog who learn quite a bit from you. Thanks!
- Norseman - Thursday, Dec 17, 15 @ 9:16 am:
Yes Rich, you broke into my OODA Loop with a very good analysis about taxes not being part of a FY 16 solution. Great job.
- Keep it Simple... - Thursday, Dec 17, 15 @ 9:29 am:
Rich Miller….Keepin’ it Real!!
Kudos!!
- wordslinger - Thursday, Dec 17, 15 @ 9:42 am:
“State business climate” is a made-up thing by media publications so they can publish annoying click-through lists.
Texas and Mississippi are virtually identical in their state policies in regards to business and labor. Yet Texas is an economic powerhouse and Mississippi remains a backwater. It would seem state policies are marginally important, at best.
In a state like Illinois, there are many components of the global economy at work at all times — some are up, some are down. There isn’t a “state economy.” That’s an arbitrary economic unit determined by rivers and a straight line at the top.
- wordslinger - Thursday, Dec 17, 15 @ 9:46 am:
–There are very few who insist that no business reforms are needed. We call them luddites.–
There’s a Strawman and a “huh?”
You can’t just say “reform” and think you’re on the side of the angels. Explain specifically what you’re proposing so it be analyzed.
And Luddites (capital L) in today’s context would be those who oppose further advances in technology.
Is that really what you’re trying to say?
- X-prof - Thursday, Dec 17, 15 @ 9:52 am:
Good talk, Rich.
Nothing in the TA would improve the business climate in IL as much as a budget with enough revenue to put the state’s fiscal house in order and start paying down long-term debt. Would eliminate uncertainty for business + cash back on your taxpayer dollar from improved credit ratings.
- Geneseo Gent - Thursday, Dec 17, 15 @ 9:56 am:
We were planning to attend this but had to cancel out due to reoccurring Shingles problem. Great job Rich!
- Anonymous - Thursday, Dec 17, 15 @ 10:16 am:
Lewis University is withholding diplomas from MAP students unless they pay up.
- wordslinger - Thursday, Dec 17, 15 @ 10:37 am:
–IBHE is starting to develop a plan for the closure of state universities.–
I’m guessing closing universities wouldn’t be so good for the state business climate or international reputation.
- Joe M - Thursday, Dec 17, 15 @ 10:42 am:
==IBHE is starting to develop a plan for the closure of state universities.==
Anonymous 7:59, do you have a source for your information? Or did you hear that at the barbershop?
- walker - Thursday, Dec 17, 15 @ 10:45 am:
Ten great quotes pulled out, and had to be ten more as worthwhile. That’s quite a packed presentation. Congrats.
- Rich Miller - Thursday, Dec 17, 15 @ 10:46 am:
===had to be ten more as worthwhile===
The Brian Hopkins weed remark got a lot of play in comments yesterday on the open thread.
lol
- Formerly Known As... - Thursday, Dec 17, 15 @ 1:58 pm:
“Christmas with Rich Miller== sounds like a holiday special on ==Masterpiece Theater==
10 for 10 on the quotes and the analysis.
- IL17Progressive - Thursday, Dec 17, 15 @ 2:22 pm:
No, Rich, In the grand scheme of things Gov. Bruce IS WRONG. I take ‘grand scheme’ meaning the general societal interplay of people.
A couple concepts - 1 A successful capitalistic business ALWAYS TAKES OUT MORE, i.e, profits, than it contributes (pays for wages, materials, etc.). 2 The end result of capitalistic process is a society with characteristics of feudalism, oligarchy, authoritarianism which are the antithesis of democratic ideas.
NOTHING in the Gov’s corporate welfare agenda will significantly enhance the general economic state of the majority of citizen’s. But, a few will receive mega returns, i.e., increasing inequality and building a feudalistic society.
Please, Rich, provide the economic analysis which identifies exactly how, when and what rate any of the ten basic ideas of the BS Rauner agenda maximizes benefits to the maximum number of people. No, the BS Reagonomics platitude of ‘biz creates jobs’ is not economic analysis. People with needs (routine or unfulfilled) create jobs.
- Chicago 20 - Thursday, Dec 17, 15 @ 4:17 pm:
I watched the video, it really created more questions than provided answers.
I don’t believe that the lack of businesses south and west of downtown Chicago is attributable to the cost of workers comp insurance.
The cost of workers comp insurance also has nothing to do with the increase of warehouse buildings north of Lafayette on the I-65 corridor but has more to do with Purdue’s engineering programs and Indiana’s repeal of their personal property tax on business inventories.
Rauner has only funded court mandated budget items and what Rauner knew would have the votes to override a veto.
As far as meeting Madigan halfway, Rauner did not bend, he just recognized that he couldn’t hold that hostage much longer.
Rauner is not only holding the citizens and venerable hostage,
Rauner is also holding State vendors and contractors hostage. Businesses are also being held hostage.
Rauner’s turn around agenda would not help the business climate of Illinois.
There is and should be a symbiotic relationship between businesses, customers and their communities.
The vast majority of the State’s corporate welfare is disproportionately given out to the corporations with abilities to lobby the State legislature and negatively portray the State’s true business climate in the media.
Rauner’s plan doesn’t address the majority of the wishes of business owners and fails to recognize that without customers these businesses have nothing to offer.
Rauner isn’t negotiating on the budget, he is holding it hostage until Rauner gets want Rauner and the Koch brothers demand.
- walker - Thursday, Dec 17, 15 @ 5:03 pm:
Wordslinger: a mild demurral
You’re right that state governments are tiny players in what drives regional economies. That politician’s claims of such powers are so much hot air.
But please don’t fall into the trap of thinking big co CEOs actually know much about general economics, or that they and their big investors (bosses), and peers (potential hirers), don’t participate together in creating their own political culture. These include responding to images of state brands and “environments.” Being in Chicago says a different thing about a company than being in Houston, Sioux Falls, or LA. Same, to some extent, for states. Governors and legislatures can impact the brand image of states. CEO decisions are somewhat political in nature, and based on image and emotion.
Just because we are technically correct and economically astute, doesn’t mean we can accurately forecast how voters, any voters, will vote on their own economic issues. So it is with selling a state to CEOs as a place to relocate.
Economics and sales don’t perfectly intersect.
You might say that corporate relocation don’t really have much impact anyway, but that’s a different discussion.