Public Wealth

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Even with the lowest unemployment since John Engler, Michigan is grumpy, notes John Gallagher. University of Michigan economist, Donald Grimes has a suggestion, maybe it’s a function of shift in consumer prices. The TV is cheaper so we buy a bigger one. Or gas is cheaper, meantime other prices rise, and so our stress.
“If there continues to be this wide divergence in price inflation for different goods and services, I don’t think people are ever going to feel that their real incomes are going up very much,” (Grimes) said. “They are going to continue to feel financially stressed to pay for the things that are going up in price relatively quickly, because they aren’t going to have money freed up by spending less on the things that are going down in price.”
Another answer may be the decline of public goods. If the public goods don’t keep up, then all we are left with is ourselves, our condition — so the economist may be right. Over this time frame what has happened in the public sector? It has been deliberately under-funded through a thicket of tax shifts. Citizens of Michigan pay more and get less, and their legislators piosly proclaim they can do nothing about it.
 
So perhaps the solution is to increase taxes a bit more and in turn make sure we have good roads, better schools, parks that are well kept and the like. We may have to forego the TV, but when we step outside, when we travel through our great state, we can feel a little better (or at least not be so continually jostled).
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