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Even Where It’s Good, Minnesota’s Economy Isn’t Great

Mankato is one of Minnesota's most prosperous cities. Yet, as Peter Nelson pointed out in an op-ed in the Mankato Free Press, even Minnesota's best-performing areas are not enjoying an outstanding economy by the standards of our neighboring states. In a recent fedgazette article, The Federal Reserve Bank of Minneapolis spotlighted how Mankato’s economy has been outperforming the state as a whole on a number of measures. The city boasts an unemployment rate well below the state rate and has experienced stronger growth in employment, labor force and population over the past 10 years. That’s good news for Mankato relative to Minnesota....

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Minnesota’s Economy: No Beacon of Prosperity!

Today, the St. Cloud Times published this op-ed by American Experiment Senior Policy Fellow Kathy Kersten: If you’re like most Minnesotans, you may believe our state is doing great economically. We’ve long been proud of our renowned work ethic, our high educational attainment, and the many Fortune 500 companies that call our state home. But a new report from Center of the American Experiment details the worrisome clouds on our state’s economic horizon. The report makes clear that in recent years, Minnesota’s traditionally competitive economy has underperformed other states on most major economic indicators. Worse yet, our own state agencies forecast an even...

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Minnesota’s Economy Faces a Turning Point

Minnesota's economy faces a turning point. That's the message of American Experiment's new report, “Minnesota’s Economy: Mediocre Performance Threatens the State’s Future.” It's a report with statewide implications, so the Center will be on the road to share the findings in communities throughout Minnesota in the weeks and months to come. Our first town hall co-hosted by the St. Cloud Area Chamber of Commerce this week attracted entrepreneurs, legislators and other local officials. We also met with the editorial board of the St. Cloud Times to discuss workforce, job creation, tax and regulatory issues raised in the report. Local media outlets play an...

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Download American Experiment’s Blockbuster Report on Minnesota’s Economy

On August 15, the Center published a report by Dr. Joseph Kennedy titled "MINNESOTA’S ECONOMY: Mediocre Performance Threatens the State's Future." The report has gained a great deal of attention and has been hailed as a wake-up call for Minnesota's policymakers. To read or download the report, click here. ...

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Star Tribune Editorial Urges Bipartisan Focus on Center’s Economy Report

American Experiment’s new report on the state’s economy shows Minnesota’s performance has been average, at best, over the last 15 years, trailing many other states in job creation, income growth and other key benchmarks.  Moreover, leading indicators point to Minnesota’s economy performing below average in the years ahead. Today the Star Tribune published a lead editorial on the findings of our 37-page report, urging liberals to dig into the findings which deserve bipartisan attention. The report, “Minnesota’s Economy: Mediocre performance threatens the state’s future,” (http://tinyurl.com/joswboy) describes several worrisome trends. Among them: Overall growth in Minnesota as measured by gross domestic product (GDP)...

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Is Minnesota A Good Place to Retire?

Financial World ranks the nine worst states to retire to, based on taxes and cost of living. They are mostly the usual suspects--New York, California, D.C., New Jersey, Oregon, Hawaii. And there at number 8 is Minnesota: The Land of 10,000 Lakes is consistently included in the list of least tax-friendly states for retirees. The state even taxes social security benefits. Even other retirement income like military, government, and private pensions are taxable. While the average household income for individuals 65 and older, which is at 13.7% below the U.S. average, is beneath the thresholds for highest tax bracket, the cost of...

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When It Comes to the Economy, Minnesota Must Do Better

This is the op-ed that I had in the St.Paul Pioneer Press this morning. It is based on the groundbreaking paper by Dr. Joseph Kennedy titled "Minnesota's Economy: Mediocre Performance Threatens the State's Future." Some of the same factors that make Minnesota a great place to live ought to make for a strong economy — a well-educated work force, one of the country’s healthiest populations, a strong work ethic and plentiful natural resources. But a report by economist Joseph Kennedy released this week by Center of the American Experiment indicates that in recent years Minnesota’s economy has underperformed. In nearly every important...

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The Left’s First Response to our Paper on Minnesota’s Economy

We have been all over Minnesota's newspapers and radio and television stations for the last couple of days, talking about Dr. Joseph Kennedy's important new paper on Minnesota's economy. We want to provoke debate and discussion, so we look forward to getting dissenting views from the Left. The first one came in yesterday, from the North Star Policy Institute. As one might expect, North Star whiffs. North Star begins by claiming that Minnesota is a red state, so if our economy is mediocre, conservative principles must be to blame. ("It is simply unbelievable to blame 'blue-state policies' for red state outcomes,"...

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Watch This Space for Blockbuster Report on Monday

On Monday, the Center will release a comprehensive report on Minnesota's economy by PhD economist Joseph Kennedy. The report will be announced at press conferences at the Capitol in St. Paul, and later in Duluth. We will be looking for television as well as newspaper coverage, and have several newspaper op-eds and radio and television guest appearances scheduled to help amplify the rollout. What does Kennedy's report say? It is titled: "Minnesota's Economy: Mediocre Performance Threatens the State's Future." Dr. Kennedy finds that by nearly all conventional economic measures, Minnesota's economic performance over the past 15 years has been mediocre. Over...

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Growth in Minnesota’s Median Household Income Doesn’t Lead the Nation

Last March Center of the American Experiment published “Minnesotans on the Move to Lower Tax States 2016,” in which I analyzed IRS migration data. Minnesota, according to this IRS data, has been consistently losing taxpaying households since 2002 and between 2013 and 2014 the state, on net, lost nearly $1 billion in income due to this negative migration trend. These data also provide convincing evidence that Minnesota’s high taxes are influencing decisions on where to move. People tend to be moving to lower tax states. Five of the ten states that, on net, receive the most Minnesotans don’t impose an income...

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