As a Labor Economist, Murphy's a Fine Columnist

Po' Bruce Murphy. Stuck in the moonshine of "high-tech is everything wonderful for all".

...Which brings us to last week’s plan announced by Republican lawmakers to gradually reduce -- by 2016 -- the state tax on the production earnings of manufacturers and agricultural businesses to zero. Yes, that’s a rather radical plan and problematic in several ways.

OMG!! ZERO!!! Murphy had just wailed that E&Y places Wisconsin 35th of 50 States in tax-burden for businesses. He seems to think that being 15th is a "good finish" to a race or something like that. Not according to Lombardi, and not according to anyone else.

Why a tax break for manufacturers and agricultural businesses and not for any other kind of business? At a time when the state is so concerned about attracting high-tech start-ups, why spend so highly on Wisconsin’s traditional economy? And why lower taxes on the sector of the economy – manufacturing – that already gets the best deal?

Bruce obviously doesn't 'get it.' See, Bruce, only about 10% (if that) of Wisconsin kids earn a "high-tech" college degree--however you care to define it. And only about 30% of Wisconsin residents have a college degree, period.

So Bruce: what do you propose to do with the ~70% of Wisconsin people (let's stipulate that is about 50%++ of the workforce) that does NOT have a "high-tech" degree? Send them to writing-school so they can scribble stuff for Milwaukee Magazine? Put 'em all on welfare? At McDonald's? WallyWorld?

No, Bruce.

The Pubbies and Walker think things through. In order to employ Wisconsin workers, jobs which do NOT require "high-tech" degrees are critical. Not just important: critical. See, then those folks pay taxes and buy Milwaukee Magazine, and all like that, hey.

Further, Bruce, you might want to get with the times. A big bunch of manufacturing work is coming back to the US because the Red Chinese produce lousy work, steal everything in sight, and delivery, well........it ain't called the 'slow boat from China' for nothing, Bruce.

So.

The Pubbies notice that metalbending and agriculture are going to be hot over the next 15-30 years, understand that the workforce we have fits into the template reasonably well, and decides that it makes sense.

See?