Professor Elam

One of the never ending stories of business is how capital flows via the Invisible Hand to its highest and best use. The same thing is true for human capital. Forbes has its list of the Top Ten Dying Cities

I counted four in Ohio,no wonder it wil be a battle ground state in the election. The reason for the decline, taxes are too high, it is a union shop state, and it has a miserable weather climate.  One can see the same thing happeningin the world.  Eastern European countries have lowered tax rates and businesses are flocking there. Ireland has been hurt by the strong US Dollar but they too have had a  resurgence of business with lower tax rates. Will Ohio get the message?  I have mentioned in class that Alabama has attracted the new Hyundai Plant as well as the Airbus plant, wow, talk about a big victory. Alabama used to be the backwater of US Business, now companies are flocking there. Why, tax incentives, year round climate (no snow), and a better educated work force. Now why can't everyone figure this out?  Nest timne you hear a politician say what he or she wil do for Ohio, askyourself, why doesn't Ohio do waht Alabama and Texas do,things look pretty good here to me!

Here is a list of cities with teh most home equity.  Why have they been least affected by the  housing bust ?  The answer is a strong economy and lack of speculatoin on second homes. Nevada and California are suffering from the collapse of speculation on homes that  no one ever lived in, the strong cities reflect more of  a Warren Buffet I am here to stay mentality. And these cities are not of course in the list above.