Sunday, August 22, 2010

Is Ky looking forward to staying behind?

High labor costs, uncertain government policies and a lack of high-tech activity are holding Kentucky's economy back.

So says University of Kentucky professor Ken Troske, who's also a nationally recognized economic expert. Troske addresses each of these three areas in a one-on-one interview in the June 2010 edition of The Lane Report.

He especially takes issue with the commonwealth's high labor costs. Not only has Kentucky lost much its previous "labor cost advantage" as other states have become more competitive, but it's not taking the steps needed to reverse that trend.

"Other areas of the United States have compensated for higher labor costs by becoming more productive and better educated," Troske said. "These increases are not being achieved in Kentucky."

Troske recommends that government focus on "trying to lower uncertainty, costs and tax burdens" -- ideas we hear very little about from the current administrations in both Washington and Frankfort.

1 comment:

Huff7Bill said...

DEBT that makes up more of state's GDP than any other state made up of $33 billion underfunded state employee pension plan with billions of bonded indebtedness, $250 million of uncollected tax evasion among Ky's motor vehicle car and truck owners, that includes over $300 million of excessive tax exemptions,tax deferrments, tax exclusions, tax credits, prefrential tax rates and tax deductions, plus skyrocketing corporate tax shelters and an obsolete tax base bringing in dwindling tax resources and lawmakers' resistance to alleviate state general fund by allowing local taxing option to local taxing jurisdictions. Ky will continue it flirting with 3rd World economy.