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California Economic Policy, Report

The Workers’ Compensation Crisis in California: A Primer

By David Neumark

This issue of California Economic Policy examines why California’s workers’ compensation costs have soared over the past four years, far exceeding premium increases in the rest of the country. It finds that the two most important contributors to the cost run-ups are rising medical costs and increasing numbers of major permanent partial disability cases. Recent legislative reforms may help resolve the situation, but more research and evaluation is needed.

Report

A Hiring Incentive that Works: The California Competes Tax Credit

By David Neumark, Matthew Freedman, Benjamin Hyman, Shantanu Khanna

Established in 2013, the California Competes Tax Credit (CCTC) boosts firm employment and payroll growth within California by as much as 30 percent within three years. This growth benefits a wide range of workers and is greater in parts of the state with higher levels of poverty and unemployment.

Report

California’s Future

By Ellen Hanak, Laura Hill, Hans Johnson, Caroline Danielson ...

This multi-topic publication highlights the state’s most pressing long-term policy challenges in several key areas: criminal justice, economy, education, safety net, and water and a changing climate.

Occasional Paper, Report

Are California’s Companies Shifting Their Employment to Other States?

By David Neumark, Jed Kolko

In this paper we examine the dynamics of businesses headquartered in California. In particular, we ask whether California companies are shifting their operations to other states—in terms of either the number of business establishments or the level of employment—through expansions and contractions of existing establishments, as well as births and deaths of establishments. These types of changes could be informative about the business climate in California—perhaps most importantly changes in births of new establishments, which may be most responsive to economic, regulatory, and other conditions that create variability in profitability across states.

Occasional Paper, Report

Services Offshoring: Background and Implications for California

By Jon D. Haveman, Howard J. Shatz

This paper provides background information for policy consideration of the offshoring of services. The authors describe the concept of offshoring, explain its appeal, and put the phenomenon in both its historical and current context. The paper explains how technology and business services offshoring fits into the growing globalization of the U.S. and world economies. It concludes by discussing some policy implications and describing how much more data and analysis are required for the development of effective policy.

California Economic Policy, Report

A Decade of Living Wages: What Have We Learned?

By David Neumark, Scott Adams

Living wages seek to raise the income of low-wage workers by mandating higher wages. However, such wage increases may also have adverse employment effects, leading employers to reduce employment of less-skilled labor. This study notes that although living wages deliver some benefits to low-income families, additional policies are needed to help the most disadvantaged.

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.

California Counts, Report

California’s Newest Neighborhoods

By Joseph Hayes, Hans Johnson

Examines the characteristics of California's newest residential developments -- those created in the 1990s. Documents number of developments, locations and growth patterns, type of housing, household demographics, traffic and commutes, and regional variations.

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