Richard S. Davis

Raising the minimum wage doesn't reduce income inequality – economic growth does

If income inequality is a problem – and there’s no consensus that it is (see here and here) – economic growth is the best way to reduce the disparities. Scott Winship, whose work on this issue has been outstanding, writes at e21: … it is the fragility of the economy that lies behind concerns over […]

Gov's State of the State: Increase minimum wage, boost education spending, fund transportation package

In his State of the State address yesterday, Gov. Inslee introduced themes likely to resonate through the November elections.  Whether they will gain bipartisan  approval in the divided Legislature is less probable. The headlines: a minimum wage increase, $200 million in new education funding (including the oft-suspended teacher COLA) paid for with unspecified tax increases, […]

Activists accelerate push for $15 minimum wage. Economists identify consequences.

Seattle Mayor Ed Murray has named a 23-member task force to make recommendations on a $15 minimum wage for the city. It’s a broad group, with representatives from business and labor, raising speculation that a clean recommendation may be out of reach. Murray acknowledged that consensus between labor and Seattle’s business elite might be difficult […]

Justice Johnson files dissent in Supremes' education funding order – Court's impact on short session unclear

Last week I posted on the state Supreme Court majority opinion finding lawmakers failed to make adequate progress toward full funding of basic education as specified in the Court’s McCleary decision. I concluded: Substantial new funding in the short session is unlikely. Key legislators already question the need for any supplemental budget. After last year’s lengthy […]

State Supreme Court says that, despite progress, Legislature still not meeting education funding targets

The state Supreme Court, in an order released today, faulted lawmakers for failing to make adequate progress on meeting the Court’s school funding mandate. (Justice Johnson is filing a dissent from the majority opinion.) The accompanying press release acknowledge legislative progress. The majority Order, signed by eight of the nine justices, acknowledges that “meaningful steps were […]

Inequality and the poor 50 years after LBJ launches the war on poverty

A half century ago, LBJ declared war on poverty. He said it wouldn’t be a short or easy struggle. About that, he was right. Today’s debates on the minimum wage and inequality remind us of the challenges. It’s necessary to get past the rhetoric, though, to get some insight into the proper role of public […]

Metro Puget Sound region poised for strong growth in 2014

In my column today I review a couple of recent studies that show economic strength in metro Seattle. Here are links to the reports for cities with economic momentum and the Milken Institute’s assessment of the best performing cities in 2013. As I note, the machinists’ vote to accept the Boeing contract helped make the […]

Governor's supplemental budget looks like a yawner … that's a good thing

Gov. Jay Inslee released his supplemental budget proposal yesterday. The details are available here. Inslee calls it “a hold-steady budget in a get-ready year.” That’s a pretty good description. The budget proposes a few modest new program increases and provides funding for increases in caseloads and school enrollment. That’s holding steady. He also warns of […]

SeaTac-to-Seattle $15 minimum wage march and the renewed national debate

Activists across the country protested for a $15 minimum wage for fast food workers today. Marchers left SeaTac this morning to bring the $15 wage narrowly passed in the airport city to Seattle. For some council members, it won’t be a hard sell. Newly elected socialist city council member Kshama Sawant (CHAH’-mah SAH’-want) says if […]

Special legislative session signals good news for machinists, for Boeing and for the state economy

Gov. Jay Inslee called lawmakers back to Olympia for a special session today designed to secure the Boeing 777X and its carbon fiber wing for Washington state. The proposed legislation complements the agreement reached by Boeing and the Machinists union for an eight-year contract extension assuring continued labor peace and changes benefiting the company and […]