Investing in Education Will Build a Stronger Vermont Economy
The best way for Vermont to strengthen its economy is by continuing to invest in educating its workforce, according to a new paper published today by the Economic Policy Institute (EPI) and the Economic Analysis and Research Network (EARN).
“A Well Educated Workforce is Key to State Prosperity” was researched and written by Noah Berger, president of the Massachusetts Budget and Policy Center, and Peter Fisher, research director at the Iowa Policy Project. Their analysis found a strong link between the educational attainment of state workforces and both productivity and median wages. The study also found no clear relationship between state tax rates and wage levels.
The authors concluded that expanding access to high quality education will create more economic opportunity and do more to strengthen a state’s overall economy than anything else. They also said strategies such as cutting taxes to lure employers and capture private investments from other states are shortsighted and promote a race to the bottom that undermines states’ ability to invest in and attract an educated workforce.
According to the data included in the report, Vermont ranked 10th in 2012 in the percentage of the workforce with a bachelor’s degree or higher. In the same year, Vermont’s median hourly wage was ranked 20th among the states.
The full report is available on the EPI website, along with the authors’ blog about their findings.
EARN is a network of 61 state and local economic think tanks and 25 national partners founded by the Economic Policy Institute and several other state and national groups. Public Assets is part of the EARN network.
