ALEC Economic Rankings - Biased and Short-term Focus

Every year when ALEC puts out their questionable economic study there is a flurry of news articles touting that the biased partisan statistics of ALEC says that this state or that state was number 1 or number 3 or woe is me number 47 in ALEC's economic report.

It's all a flash in the pan - cause recent reports that have rebutted the statistics in the ALEC economic  report note that over the long run - ALEC policies that are prescribed as - economic building blocks in their report - over the long run are not beneficial to the state.

As noted in a recent report by Good Jobs First and the Iowa Policy Project

Selling Snake Oil to the States: The American Legislative Exchange Council's Flawed Prescriptions for Prosperity

"Rich States, Poor States provides a recipe for economic inequality, wage suppression, and stagnant incomes, and for depriving state and local governments of the revenue needed to maintain the public infrastructure and education systems that are the true foundations of long term economic growth and shared prosperity."

It's one thing to read that - it's another to actually see how ALEC policies play out.

"Business Climate" Rankings Bogus Says New Report

by Nick Surgey — May 2, 2013 - 8:46am

Six influential state tax studies by anti-tax organizations including the American Legislative Exchange Council (ALEC), are “deeply flawed,” include “highly inconsistent findings” and constitute “ideologically charged pseudo-social science published to further the interests of corporations and rich people,” according to a major new report released by Good Jobs First, titled "Grading Places: What Do the Business Climate Rankings Really Tell Us?"

SNIP

According to Good Jobs First, the studies “are not about jobs and income, but rather about ideology." The success criteria selected by the authors of the studies, match the organization’s policy objectives.

"The success criteria selected by the authors of the studies, match the organization’s policy objectives."
“are not about jobs and income, but rather about ideology.
What does that mean?
A research study based on:
    BIASED, PARTISAN, ARTIFICIAL, OR BOGUS  CONSTRUCTS

What happens in the subsequent years after a state is lauded by ALEC - based on biased partisan constructs - as being a great state for economic competitiveness?

Let's take a look at a real life longitudinal example.

INDIANA

In 2008 the Indiana GOP Platform included this statement

The American Legislative Exchange Council now ranks Indiana number one in the Midwest for Economic Competitiveness

That was 2008 

The American Legislative Exchange Council now ranks Indiana number one in the Midwest for Economic Competitiveness

What happened to Indiana subsequent to them being ranked #1 in the Midwest for Economic Competitiveness

What happened long term?

How well did Indiana fare - using the ALEC policies for economic competitiveness?

UNEMPLOYMENT
Well here's what happened with Indiana's unemployment  after being declared #1 by ALEC:

Consistently above the national unemployment rates.
Not so great when you think about "Economic Competitiveness" from the public's perspective.
  

POVERTY

Here's what happened to Indiana's poverty rates  after being declared #1 by ALEC.

Childhood Poverty: Indiana’s Emergency Report and Recommendations 
Of the 1.5 million children living in Indiana, 20 percent, or 311,000 are living in poverty, with 8.9 percent or 138,000 living in extreme poverty

In April 2011, Indiana’s homeless count was the highest level since 2007

Indiana is currently ranked 50th out of 50 states in the nation for funding by the U.S. Health Resources and Service s Administration,

Here's another way to look at it.

http://www.cbpp.org/files/3-1-13tanf/IN.pdf

Not such a great outcome when you think about "Economic Competitiveness" from the public's perspective.

TRANSPARENCY

Transparency is a construct in ALEC’s economic report

ALEC is always pushing how transparent

YET
3/26/2013 6:26:00 PM

Indiana gets a C+ for government spending transparency,falls from A-

"But Indiana still has a long way to go."

You see - you can not only look at the crap printed in an ALEC report or an ALEC press release without questioning it over the long-term.

Longitudinal success - Not so much.
When things aren't working out so well - do what ALEC does - HIDE IT!

The ALEC report and state ratings are only a flash in the pan - a static look each year - where state rankings change every year - based on artificial compliance with ALEC-specific ultra-conservative, extremist  pro-corporate policy suggestions.

May sound good

May look good

But - ALEC never reports when their predictions DON'T work for the citizens of that state.  It appears they just move the states around at whim on their biased partisan ranking of economic competitiveness.

NO LONG-TERM EFFECTS

When an ALEC legislator or governor states that they are "Open for Business" - that does not necessarily lead to prosperity for the citizens of that state over the long-term.

When an ALEC legislator blindly follows the economic prescriptions espoused by biased and partisan ALEC funded economists - that does not necessarily lead to prosperity for the citizens of that state over the long-term.

Because what is good for the ALEC corporations that ALEC legislators cater to - - - is not necessarily good for the residents of that state over the long-term.

The ALEC economic report and state ratings are only a flash in the pan 

- a static look each year 

- where the state rankings change every year 

- based on artificial compliance 
- with ALEC-specific ultra-conservative, extremist  pro-corporate policy suggestions.