MN Economy Tops Wisconsin's In Virtually Every Measure: Report

A new report finds that by "virtually every metric," Minnesota’s economy has performed far better than Wisconsin’s in the last seven years. The Economic Policy Institute, a liberal research group based in Washington, D.C., says it's the result of two states' vastly different economic policy agendas.

“Policymakers in Wisconsin have pursued a highly conservative agenda centered on cutting taxes for the rich, shrinking government, and weakening unions,” analyst David Cooper said in a statement.

“In contrast, Minnesota has enacted a slate of progressive priorities like raising the minimum wage, strengthening labor standards, and boosting public investments in infrastructure and education, financed through progressive taxes. The results could not be more clear: workers and families in Minnesota have done far better over the past seven years than their counterparts in Wisconsin.”

Because of the proximity and similarities of the two states, comparing their economic performance provides a compelling case study for assessing which agenda leads to better outcomes for working people, says the group.

Read the full report here.

Major findings include:

Job growth since December 2010 has been markedly stronger in Minnesota. Minnesota has added more jobs than Wisconsin in every year since 2010.

From 2010 to 2017, wages grew faster in Minnesota than in Wisconsin at every decile in the wage distribution.

Median household income in Minnesota grew by 7.2 percent from 2010 to 2016. In Wisconsin, it grew by 5.1 percent over the same period. Median family income exhibited a similar pattern, growing 8.5 percent in Minnesota compared with 6.4 percent in Wisconsin.

Cooper also notes that population trends also paint a more favorable picture for Minnesota than Wisconsin.

From 2010 to 2016, both states had more residents migrate to another state than move into Minnesota or Wisconsin (although Minnesota had a net gain in overall migration, due to migration from outside the country).

However, the domestic migration trend has recently shifted in Minnesota. In 2016-2017, net domestic migration was positive, with nearly 8,000 more U.S. residents moving to Minnesota than departing.

In Wisconsin, net migration was still negative, with over 2,000 more people leaving the Badger State than entering from elsewhere in the U.S.

EGI isn't alone in its findings. Wisconsin Public Radio reported in May that Minnesota has passed Wisconsin in total jobs for the first time in recent history.

Minnesota is the third best state in the country to find a job, according to a new study from WalletHub.

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