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California Economic Policy, Report

Day Labor in the Golden State

By Arturo Gonzalez

Situated on busy street corners and in front of home improvement stores, day labor markets are highly visible. Yet little is known about day laborers themselves—their demographic characteristics, economic outcomes, or working conditions. Using data from the National Day Labor Survey, this report examines the day labor population and looks at the ways local governments are responding to the presence of day labor markets in their communities.

Report

Entrepreneurship among California’s Low-Skilled Workers

By Magnus Lofstrom

The number of self-employed in California has grown considerably over the last three decades. Those with a high-school diploma or less—the low-skilled—make up a significant portion of this growth. Is business ownership a stable and financially rewarding option for them? This report explores this group of entrepreneurs and finds most low-skilled business owners have lower annual earnings than do low-skilled wage-earners—despite working more hours per week.

Report

Do California’s Enterprise Zones Create Jobs?

By David Neumark, Jed Kolko

California’s enterprise zone program was established to spur business and job creation in economically distressed areas. Offering tax credits and other incentives to businesses throughout the state, it is California’s largest economic development program. But does it work? This report finds that enterprise zones have no overall effect on job growth. There are some positive findings: for example, the program raises employment more in zones with smaller manufacturing shares, and marketing and outreach efforts seem to be helpful. But the report’s main finding calls into question the wisdom of investing in the program as it stands.

Report

How Can California Spur Job Creation?

By David Neumark

California has both short- and long-term unemployment problems. This report examines the effectiveness of two direct job creation policies: hiring credits – subsidies to employers to hire workers – and worker subsidies – subsidies to individuals to enter the labor market. In the short-term, a well-designed hiring credits program is a more effective response to downturns in the business cycle. In the long term, worker subsidies are a better way to address the state’s chronic unemployment problems.

This report was supported with funding from the Donald Bren Foundation.

Report

California’s Global Gateways: Trends and Issues

By Jon D. Haveman, David Hummels

The capacity and efficiency of seaports and airports have become critical factors in global trade. Such trade is especially important to California, whose ports are among the busiest in the nation. In California’s Global Gateways: Trends and Issues, Jon D. Haveman and David Hummels examine several aspects of the state’s trade traffic and infrastructure. Focusing on trends and forecasts in international shipping, the regional effects of serving as a global distribution center, the 2002 West Coast port closure, and policy responses to terrorist attacks, the report points to a complex policy question: Should California seek to increase shipments through its ports and cities or adopt policies that, in effect, encourage international cargo to go elsewhere? The answer to this question, the authors note, will shape California’s physical and economic landscape for decades to come.

Report

Does Broadband Boost Local Economic Development?

By Jed Kolko

The federal government and the state of California, as well as other states throughout the nation, have made universal access to broadband service a public policy goal, assuming that multiple economic and social benefits will accrue from increasing broadband access. This study assesses whether policies designed to increase broadband availability—especially to unserved and underserved communities—will contribute to local economic development. It finds a positive relationship between broadband expansion and employment growth, but the benefits for local residents are ambiguous.

This report was supported with funding from The David A. Coulter Family Foundation.

California Counts, Report

Recent Trends in Income and Poverty

By Deborah Reed

Examines recent trends in the distribution of family income in California, including comparisons to trends in earlier decades. Looks specifically at how changing economic conditions have affected levels of poverty, affluence, and income inequality. Also documents sources of family income, describes variations in family income by demographic group and by region, and discusses the demographic and economic determinants of income trends in California.

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