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Migration And Housing Price Effects Of Place-Based College Scholarships, Timothy J. Bartik, Nathan Sotherland Dec 2015

Migration And Housing Price Effects Of Place-Based College Scholarships, Timothy J. Bartik, Nathan Sotherland

Timothy J. Bartik

Place-based college scholarships, such as the Kalamazoo Promise, provide students who live in a particular place, and/or who attend a particular school district, with generous college scholarships. An important potential benefit from such “Promise programs” is their short-term effects on local economic development. Generous Promise scholarships provide an incentive for families to locate in a particular place, which may change migration patterns, and potentially boost local employment and housing prices. Using data from the American Community Survey, this paper estimates the average effects of eight relatively generous Promise programs on migration rates and housing prices in their local labor market. …


Benefits Vs. Costs Of Business Incentives, Timothy J. Bartik Dec 2015

Benefits Vs. Costs Of Business Incentives, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


The Effects Of The Kalamazoo Promise Scholarship On College Enrollment, Persistence, And Completion, Timothy J. Bartik, Brad J. Hershbein, Marta Lachowska Jun 2015

The Effects Of The Kalamazoo Promise Scholarship On College Enrollment, Persistence, And Completion, Timothy J. Bartik, Brad J. Hershbein, Marta Lachowska

Timothy J. Bartik

We estimate the effects on postsecondary education outcomes of the Kalamazoo Promise, a generous, place-based college scholarship. We identify Promise effects using difference-in-differences, comparing eligible to ineligible graduates before and after the Promise’s initiation. According to our estimates, the Promise significantly increases college enrollment, college credits attempted, and credential attainment. Stronger effects occur for women.


The Road Toward K-12 Excellence In Michigan: How An Upgraded Financing System Can Better Support Enhanced Student Achievement, Kevin Hollenbeck, Timothy J. Bartik, Randall W. Eberts, Brad J. Hershbein, Michelle Miller-Adams May 2015

The Road Toward K-12 Excellence In Michigan: How An Upgraded Financing System Can Better Support Enhanced Student Achievement, Kevin Hollenbeck, Timothy J. Bartik, Randall W. Eberts, Brad J. Hershbein, Michelle Miller-Adams

Timothy J. Bartik

No abstract provided.


From Preschool To Prosperity : The Economic Payoff To Early Childhood Education, Timothy J. Bartik Feb 2015

From Preschool To Prosperity : The Economic Payoff To Early Childhood Education, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


Higher Education, The Health Care Industry, And Metropolitan Regional Economic Development: What Can "Eds & Meds" Do For The Economic Fortunes Of A Metro Area's Residents?, Timothy J. Bartik, George A. Erickcek Jan 2015

Higher Education, The Health Care Industry, And Metropolitan Regional Economic Development: What Can "Eds & Meds" Do For The Economic Fortunes Of A Metro Area's Residents?, Timothy J. Bartik, George A. Erickcek

Timothy J. Bartik

This paper examines the effects of expansions in higher educational institutions and the medical service industry on the economic development of a metropolitan area. This examination pulls together previous research and provides some new empirical evidence. We provide quantitative evidence of the magnitude of economic effects of higher education and medical service industries that occur through the mechanism of providing some export-base demand stimulus to a metropolitan economy. We also provide quantitative evidence on how much higher education institutions can boost a metropolitan economy through increasing the educational attainment of local residence. We estimate that medical service industries pay above …


Estimating A Performance Standards Adjustment Model For Workforce Programs That Provides Timely Feedback And Uses Data From Only One State, Timothy J. Bartik, Randall W. Eberts, Kenneth J. Kline Jan 2015

Estimating A Performance Standards Adjustment Model For Workforce Programs That Provides Timely Feedback And Uses Data From Only One State, Timothy J. Bartik, Randall W. Eberts, Kenneth J. Kline

Timothy J. Bartik

The purpose of this paper is to describe a methodology for adjusting performance standards for workforce programs offered by local workforce areas (LWAs). By performance standards adjustment, we mean a model that uses a statistical approach to attempt to better measure the relative performance of different local workforce areas in providing workforce system customers with "value added" in terms of the system's desired outcomes. Our paper's approach has four distinguishing features. First, the performance standards are based on the common measures proposed by the U.S. Department of Labor, which include short- and longer-term employment outcomes. Second, the model is estimated …


An Alternative Pathway To A High School Diploma Is Needed, Kevin Hollenbeck, Timothy J. Bartik Jan 2015

An Alternative Pathway To A High School Diploma Is Needed, Kevin Hollenbeck, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


The U.S. Economic Crisis And A Revised New Jobs Tax Credit, Timothy J. Bartik Jan 2015

The U.S. Economic Crisis And A Revised New Jobs Tax Credit, Timothy J. Bartik

Timothy J. Bartik

An efficacious economic stimulus to help the U.S. economy recover from its current recession is the revival of the New Jobs Tax Credit. Unlike the original credit utilized by the federal government in 1977– 1978, the new version should be a refundable credit but at a lower current dollar value. My 2001 book, Jobs for the Poor: Can Labor Demand Policies Help? proposed a permanent version f the New Jobs Tax Credit that would be automatically triggered when the unemployment rate is high. My estimates, updated to 2008, suggest that such a revised credit might increase aggregate U.S. employment by …


The Effects Of Metropolitan Job Growth On The Size Distribution Of Family Income, Timothy J. Bartik Jan 2015

The Effects Of Metropolitan Job Growth On The Size Distribution Of Family Income, Timothy J. Bartik

Timothy J. Bartik

This paper examines how a metropolitan area's job growth affects its income distribution. The research uses annual Current Population Survey data on the income distribution in different metropolitan areas from 1979 through 1988. Faster metropolitan job growth increases real family income in the lowest income quintile by a significantly greater percentage than for the average family. Metropolitan job growth also increases the value of property owned by upper income quintiles, but property value effects are not large enough to offset the progressive effects of growth on labor income. Simulations indicate that economic development programs to increase metropolitan job growth will …


A Proposal For Early Impact, Persistent, And Cost-Effective Job Creation Policies, Timothy J. Bartik Jan 2015

A Proposal For Early Impact, Persistent, And Cost-Effective Job Creation Policies, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


The Role Of Public Policy In Skills Development Of Black Workers In The 21st Century, Timothy J. Bartik, Kevin Hollenbeck Jan 2015

The Role Of Public Policy In Skills Development Of Black Workers In The 21st Century, Timothy J. Bartik, Kevin Hollenbeck

Timothy J. Bartik

This paper discusses the role of public policy in the skills development system of the U.S. It further examines the implications of that policy for the skill development and career progression of black workers. The paper describes the current "system" for skills development in the United States as a two- tiered system: The "first-chance" or conventional system allows individuals to proceed through an extensive public elementary, secondary, and postsecondary educational sector that is supplemented by private educational institutions and is followed by employer-provided job training and work experience. The "second-chance" system is designed for individuals who do not successfully traverse …


Federal Policy Towards State And Local Economic Development In The 1990s, Timothy J. Bartik Jan 2015

Federal Policy Towards State And Local Economic Development In The 1990s, Timothy J. Bartik

Timothy J. Bartik

This paper suggests new federal policies towards state and local economic development assistance to business. I argue that there is some evidence that these programs can be effective in encouraging business growth and helping the unemployed. But state and local governments do not have the right incentives to adequately pursue national goals through economic development programs. State and local governments are not inclined to do quality evaluations of their programs and tend to favor business attraction programs over programs that might increase U.S. business productivity. In addition, it is unclear whether economic development efforts are most vigorously pursued by economically …


Economic Development Incentive Wars, Timothy J. Bartik Jan 2015

Economic Development Incentive Wars, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


Responding To Skeptics Of Early Childhood Programs As Local Economic Development, Timothy J. Bartik Jan 2015

Responding To Skeptics Of Early Childhood Programs As Local Economic Development, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


Economic Development Strategies, Timothy J. Bartik Jan 2015

Economic Development Strategies, Timothy J. Bartik

Timothy J. Bartik

This paper provides a guide to economic development policies for local government managers. Local economic development policies today include not only tax subsidies for branch plants, but also job training to provide workers to businesses, advice and support services for potential entrepreneurs, and extension services to help businesses modernize and export. To help local government managers, this paper suggests a number of guiding principles, including: local economic development should be pursued cooperatively across the local labor market; economic development programs should consider the quality of jobs created; tax subsidies are expensive per job created; development subsidies are more effective if …


Effects Of The Pre-K Program Of Kalamazoo County Ready 4s On Kindergarten Entry Test Scores: Estimates Based On Data From The Fall Of 2011 And The Fall Of 2012, Timothy J. Bartik Jan 2015

Effects Of The Pre-K Program Of Kalamazoo County Ready 4s On Kindergarten Entry Test Scores: Estimates Based On Data From The Fall Of 2011 And The Fall Of 2012, Timothy J. Bartik

Timothy J. Bartik

This paper uses a regression discontinuity model to examine the effects on kindergarten entrance assessments of the Kalamazoo County Ready 4s (KC Ready 4s) program, a half-day pre-K program for four-year-olds in Kalamazoo County, Michigan. The results are based on test scores and other characteristics of up to 220 children participating in KC Ready 4s, with data coming from both 2011–2012 and 2012–2013 participants in the program. The estimates find consistently statistically significant effects of this pre-K program on improving entering kindergartners’ math test scores. Some estimates also suggest marginally statistically significant effects of KC Ready 4s on vocabulary test …


Earnings Benefits Of Tulsa's Pre-K Program For Different Income Groups, Timothy J. Bartik, William Gormley, Shirley Adelstein Jan 2015

Earnings Benefits Of Tulsa's Pre-K Program For Different Income Groups, Timothy J. Bartik, William Gormley, Shirley Adelstein

Timothy J. Bartik

This paper estimates future adult earnings effects associated with a universal pre-K program in Tulsa, Oklahoma. These informed projections help to compensate for the lack of long-term data on universal pre-K programs, while using metrics that relate test scores to valued social benefits. Combining test-score data from the fall of 2006 and recent findings by Chetty et al. (forthcoming) on the relationship between kindergarten test scores and adult earnings, we generate plausible projections of adult earnings effects and a partial cost-benefit analysis of the Tulsa pre-K program. We find substantial projected earnings benefits for program participants who differ by income …


Thoughts On American Manufacturing Decline And Revitalization, Timothy J. Bartik Jan 2015

Thoughts On American Manufacturing Decline And Revitalization, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


An Analysis Of The Employment Effects Of The Washington High Technology Business And Occupation (B&O) Tax Credit: Technical Report, Timothy J. Bartik, Kevin Hollenbeck Jan 2015

An Analysis Of The Employment Effects Of The Washington High Technology Business And Occupation (B&O) Tax Credit: Technical Report, Timothy J. Bartik, Kevin Hollenbeck

Timothy J. Bartik

This paper estimates the effects of an R&D tax credit in the state of Washington on job creation. The research uses micro-data on the job creation and tax credits received by individual firms in the state of Washington from 2004 to 2009. We correct for the endogeneity of R&D tax credits received by individual firms by using instrumental variables based in part on national industry factor shares for R&D. We estimate that this tax credit created jobs, but at a high cost. The cost per job-year created is estimated to be between $40,000 and $50,000. The credit was so high …


Maximum Score Estimates Of The Determinants Of Residential Mobility: Implications For The Value Of Residential Attachment And Neighborhood Amenities, Timothy J. Bartik, J. S. Butler, Jin-Tan Liu Jan 2015

Maximum Score Estimates Of The Determinants Of Residential Mobility: Implications For The Value Of Residential Attachment And Neighborhood Amenities, Timothy J. Bartik, J. S. Butler, Jin-Tan Liu

Timothy J. Bartik

This paper examines the determinants of the decision of low-income renters to move out of their current dwelling. Maximum score estimation is shown to be superior to ordinary discrete choice estimation techniques (probit, logit) for this problem, and for similar discrete choices that require revering a previously optimal decision. The estimation reveals psychological costs from moving for typical low income renters of at least 8% of their income ; these costs are even higher for older, longer tenure, or minority households. Policies that displace low income renters will have large social costs. In addition, the estimation results are used to …


Examining The Effect Of Industry Trends And Structure On Welfare Caseloads, Timothy J. Bartik, Randall W. Eberts Jan 2015

Examining The Effect Of Industry Trends And Structure On Welfare Caseloads, Timothy J. Bartik, Randall W. Eberts

Timothy J. Bartik

Previous studies of the macro-economic determinants of welfare caseloads have had difficulty in explaining changes in welfare caseloads during the last decade or so using the simple macroeconomic measure of unemployment. Because welfare recipients will typically get entry-level jobs, employment variables that are closely related to job vacancies, such as employment growth, are also important in determining welfare caseloads, as we show empirically in this study. Recognizing that welfare recipients face more substantial barriers to employment than those who typically have more education and skills, we constructed several macro-economic variables that reflect the education requirements of industries and the predominance …


Why Michigan (And Other States) Should Invest In Preschool, Timothy J. Bartik Jan 2015

Why Michigan (And Other States) Should Invest In Preschool, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


How Do The Effects Of Local Growth On Employment Rates Vary With Initial Labor Market Conditions?, Timothy J. Bartik Jan 2015

How Do The Effects Of Local Growth On Employment Rates Vary With Initial Labor Market Conditions?, Timothy J. Bartik

Timothy J. Bartik

This paper examines how the effects of increased employment growth on a metropolitan area’s employment to population ratio varies with the initial tightness of the metropolitan area’s labor market. This examination is relevant to evaluating the benefits of local economic development policies in different metropolitan areas. Much of the benefits of such policies are in higher employment rates. The empirical estimates suggest that the effectiveness of employment growth in increasing the employment to population ratio is lower in metropolitan areas with “tight” labor markets. In addition, some estimates suggest that growth has the greatest long-run effects on the employment to …


Distributional Effects Of Early Childhood Programs And Business Incentives And Their Implications For Policy, Timothy J. Bartik Jan 2015

Distributional Effects Of Early Childhood Programs And Business Incentives And Their Implications For Policy, Timothy J. Bartik

Timothy J. Bartik

This is a draft of a chapter of a planned book, Preschool and Jobs: Human Development as Economic Development, and Vice Versa [subsequently published as Investing in Kids, 2011]. This book analyzes early childhood programs effects on regional economic development. This chapter considers the effects of early childhood programs and business incentives on the income distribution. A key issue is whether early childhood programs should be targeted on the poor, or made universally available for free. Relevant considerations in addressing this issue include how benefits of early childhood programs benefit with family income, and the political feasibility of targeted versus …


Living Wages And Local Governments, Timothy J. Bartik Jan 2015

Living Wages And Local Governments, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.


A Future Of Good Jobs? America's Challenge In The Global Economy, Timothy J. Bartik, Susan N. Houseman Jan 2015

A Future Of Good Jobs? America's Challenge In The Global Economy, Timothy J. Bartik, Susan N. Houseman

Timothy J. Bartik

No abstract provided.


Michigan's Economic Development Policies, Timothy J. Bartik, George A. Erickcek Jan 2015

Michigan's Economic Development Policies, Timothy J. Bartik, George A. Erickcek

Timothy J. Bartik

No abstract provided.


What Should The Federal Government Be Doing About Urban Economic Development?, Timothy J. Bartik Jan 2015

What Should The Federal Government Be Doing About Urban Economic Development?, Timothy J. Bartik

Timothy J. Bartik

The federal government should focus its policies towards economic development on areas in which the federal government has some unique advantages. Federal policy should: (1) discourage financial subsidies to specific large firms by state and local governments; (2) expand the federal role in economic development services in which national action has some special advantages, such as developing information on foreign markets, encouraging large national banks to be more involved in economic development, supporting the development of the "Information Superhighway," and encouraging new technology development; (3) provide modest support for state and local efforts to increase business productivity through technology extension …


Estimating The Costs Per Job Created Of Employer Subsidy Programs, Timothy J. Bartik Jan 2015

Estimating The Costs Per Job Created Of Employer Subsidy Programs, Timothy J. Bartik

Timothy J. Bartik

No abstract provided.