In the spring, Whitewater saw two Community Development Authority press releases touting a specific part of the Trump tax bill. (See press release 1, press release 2.) In response, this website replied (1) with a link to a Congressional Budget Office study implying that, overall, the Trump bill will boost incomes for foreign investors but not…
Economics
CDA, City, Conflicts of Interest, Corporate Welfare, Economics, Economy, Education, Local Government, Marketing, Mendacity, Politics, State Government, That Which Paved the Way, Tony Evers, WEDC, Wisconsin
Redefining Reality
by JOHN ADAMS •
Tony Evers, State Superintendent of Public Instruction and candidate for governor, has a new video about a political effort to redefine reality. The video is about Scott Walker, but it might as easily have been about any number of local politicians in Whitewater or other small Wisconsin towns, with tax breaks for out-of-towners and cronies…
Bad Ideas, CDA, Corporate Welfare, Economics, Economy, Free Markets, Local Government, State Capitalism, Trump, WEDC
The Mercantilist
by JOHN ADAMS •
Veronique de Rugy contends that one should take Trump at his word on trade. It’s doubtful that anyone should take Trump’s word for anything, but that’s too literal a reading of her claim. She’s right that, in effect, Trump truly opposes free trade no matter what he says: As we embark on a trade war, let’s…
Economics, Economy, Employment, Trade
Promising Gain, Delivering Loss
by JOHN ADAMS •
Here in the Midwest, in America’s Dairyland, in a small college town surrounded by farms, Trumpism’s economic promises, never likely to do a body good, now slowly curdle: U.S. business groups say hundreds of thousands of American jobs are at stake as newly imposed trade barriers cause an abrupt slowdown of cross-border trade. The fallout is…
China, Economics, Economy, Foreign Affairs, Health, Lifestyle, Trade, Trump
A Metaphor for Trump’s Trade Policy
by JOHN ADAMS •
Wisconsin businesses are bracing themselves for European Union retaliation against Trump’s trade tariffs (“Harley-Davidson motorcycles, dairy products, ginseng, cranberries and other Wisconsin goods are likely to feel the sting of retaliation from steep tariffs announced Thursday by the White House on foreign metals”). Meanwhile, there’s no better visual metaphor for the difference between Trump’s trade…
CDA, City, Development, Economics, Foxconn, Government Spending, Local Government, State Capitalism, State Government, That Which Paved the Way
Another Pig at the Trough
by JOHN ADAMS •
Jason Stein and Rick Romell report Foxconn: Glass maker could want hundreds of millions of dollars to locate alongside massive Wisconsin factory: To locate in Wisconsin, a key glass supplier to Foxconn wants financial help from the Taiwanese electronics giant or state taxpayers that could run into the hundreds of millions of dollars. … Corning…
City, Conflicts of Interest, Corporate Welfare, Economics, Economy, Ethics, Gov. Walker, Local Government, Mendacity, Paul Ryan, Politics, State Capitalism, That Which Paved the Way, Trump
The Price of Trumpism is Ruin
by JOHN ADAMS •
Craig Gilbert looks at the careers of Priebus, Ryan, and Walker: They led the “Cheesehead Revolution,” the GOP’s audacious conquest of Wisconsin. They offered a model for bridging Republican frictions between establishment and base. They became national figures. They ran into Donald Trump. They suffered. They bent to his rise. Now one (Priebus) has left…
Bad Ideas, CDA, City, Corporate Welfare, Development, Economics, Economy, Government Spending, Local Government, State Capitalism, Taxes/Taxation, That Which Paved the Way
‘Crony Capitalism and Social Engineering: The Case Against Tax-Increment Financing’
by JOHN ADAMS •
Whitewater’s residents may have heard, as I have, ignorant and false boasting about the benefits of tax incremental financing. It’s variously described as increment or incremental financing, but either way, it’s a plan to entice developers with taxpayer funds by segregating from the general fund, if any, the revenue generated from a development to pay…
CDA, City, Development, Economics, Economy, Foxconn, Government Spending, Local Government, State Capitalism, State Government, That Which Paved the Way
A Sham News Story on Foxconn
by JOHN ADAMS •
About a month ago, a local business lobbying group in Whitewater invited an operative of the Walker Administration to the city to talk about Foxconn. The nearby Jefferson County Daily Union sent a stringer to cover the presentation. See Foxconn impact outlined in Whitewater. In the 38-paragraph story, the paper simply reproduces – without the…
Bad Ideas, Business, CDA, Corporate Welfare, Development, Economics, Economy, Foxconn, Government Spending, Local Government, State Capitalism, State Government, That Which Paved the Way, WEDC
Foxconn as Alchemy: Magic Multipliers
by JOHN ADAMS •
The Foxconn plant isn’t even built yet, but the Walker Admin and its allies (including a few local apologists for corporate welfare in Whitewater) now resort to fantastic, magical claims about how much economic development will come from nearly four billion in taxpayer subsidies. So magical, so fantastic, that they now claim an 18-1 multiplier…
America, Economics, Economy, Education, Labor, Newspapers
A Telling Comparison
by JOHN ADAMS •
People in small towns, nearly everywhere in this country, have access to national programming & news on television and online. As easily as one could subscribe online to something like the Janesville Gazette, one could subscribe to the Chicago Tribune or Washington Post. Imagine, then, a choice between editorials in the Gazette and the Post…
City, Economics, Economy, Education, Immigration, Trump
Anti-Immigration Measures, Wrong Yet Again
by JOHN ADAMS •
Embed from Getty Images An anti-immigration position is for economics something like a flat-earth position would be for natural science: one may hold it only through either ignorance or disorder. (The ignorance would have to be profound, as even the weakest grasp of economics would incline a rational person to acknowledge the benefits of a…
America, Charity, City, Development, Economics, Economy, Holiday, Local Government, Planning, Politics
Reading and Reviewing
by JOHN ADAMS •
There are two books I’m eager to review here at FW: Katherine Cramer’s Politics of Resentment: Rural Consciousness in Wisconsin and the Rise of Scott Walker (2016) and Amy Goldstein’s Janesville: An American Story (4.18.17). Like many others, I’ve been awaiting Goldstein’s book for some time, knowing that significant works take time. For both books,…