Privatization

Third and State This Week: PA Jobs Report, Uncompensated Care Costs at Hospitals & Alcohol-Related Traffic Deaths

This week at Third and State, we blogged about Pennsylvania's April jobs numbers and state revenue report, a new report on uncompensated care costs at hospitals in the commonwealth, rates of alcohol-related traffic deaths in alcohol control states, and much more.

IN CASE YOU MISSED IT

  • On jobs and the economy, Mark Price blogged about Pennsylvania’s April jobs report and an effort to undermine the state’s unemployment insurance system.
  • On health care, Chris Lilienthal wrote about a new report from the Pennsylvania Health Care Cost Containment Council finding that uncompensated care costs at hospitals rose 11% in 2010-11, the same year the state ended the adultBasic program.
  • On the privatization of alcohol distribution, Mark Price shared a new Keystone Research Center analysis finding that states with tighter control over the sale and distribution of alcohol have lower alcohol-related traffic deaths than states that take a more hands off approach.
  • On state taxes, Michael Wood wrote about the April state revenue report, which marked the third straight month of collections exceeding monthly estimates.
  • And in Morning Must Reads this week, Mark Price highlighted news coverage of an effort to legalize predatory payday lending in Pennsylvania and what that has to do with motor vehicle fatalities among oil and gas workers; stories on Governor Tom Corbett’s question-and-answer session at a Greater Philadelphia Chamber of Commerce event; the Governor’s “Do as I say, not as I do” message to school districts; and the importance of training programs targeted to the needs of employers as the economy recovers.

More blog posts next week. Keep us bookmarked and join the conversation!

The Dreaded Omitted Variable Bias Red Card

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Most people would expect that states like Pennsylvania that more tightly control alcohol sales would have fewer of the social problems associated with excessive drinking, including alcohol-related motor vehicle fatalities.

So you can imagine our surprise when analysis by economists John Pulito and Antony Davies reached the very opposite conclusion. Their work was published by self-avowed “free market” think tanks, including Pennsylvania’s Commonwealth Foundation and the Mercatus Center at George Mason University.

The Pulito-Davies findings are at odds with those of a panel of public health experts who recently studied the effects of privatization of retail alcohol distribution. Based on a systematic review of the available research, the panel found that privatization contributes to increases in alcohol consumption, creating a greater risk of alcohol abuse and its associated social costs.

Morning Must Reads: Training and Education? Let Them Go To The Pittsburgh Opera

When workers lose their jobs in a recession, they have time that could be spent in training programs targeted to the needs of employers. Of course, there is a hitch: during a recession, employers are not hiring, so at the very time there are lots of people available to train, employers don't need new workers. As the economy improves (like it is now), it opens the door to training tied to the needs of businesses that are hiring. 

Third and State This Week: Bigfoot, Preventative Care and Health Reform Turns 2

This week at Third and State, we set the record straight about welfare spending in Pennsylvania and explained why it makes sense for insurers to cover preventative health care. We also blogged about property taxes rising as a result of state budget cuts, the second birthday of the Affordable Care Act, and more.

IN CASE YOU MISSED IT

  • On health care and public welfare, Sharon Ward explained why a recent report on welfare spending in Pennsylvania is a lot like Bigfoot, finding something in the Department of Public Welfare that just doesn't exist.
  • On health care, intern Jheanelle Chambers explained why it is important for health insurance to continue to cover preventative care, which increases both the quality and the length of people's lives. Chris Lilienthal had a post on the positive impact that the Affordable Care Act (which turns 2 today) is having on the lives of millions of Americans.
  • On higher education, Chris Lilienthal shared a chart from the Pennsylvania Budget and Policy Center showing that if the Governor's 2012-13 budget proposal is enacted, Pennsylvania will spend twice as much on prisons as on colleges and universities.
  • And in the Morning Must Reads this week, Mark Price highlighted news reports on state budget cuts driving school districts to raise property taxes and cut staff, and some good news for Pittsburgh and Chester County.

More blog posts next week. Keep us bookmarked and join the conversation!

Morning Must Reads: Good news in Pittsburgh and Chester County, Not So Much In Scranton

Since it is spring, how about some good news for a change! The budget gap faced by the Pittsburgh School District is smaller than expected thanks to unexpected revenue growth and a mild winter.

This Week at Third and State: School Bus Contracting, Voter ID and the Misguided Food Stamps Asset Test

This week, we blogged about a new report on the higher costs of contracting out school bus transportation to private companies, the expensive voter ID bill approved this week, an op-ed from the CEO of Weis Markets on the misguided asset test being proposed for food assistance, and much more.

IN CASE YOU MISSED IT

  • On privatization, Stephen Herzenberg blogged about a new Keystone Research Center report finding that private school bus transportation services in Pennsylvania cost more than when districts provide their own transportation, underscoring that privatization is not always the best option.
  • On voter ID, Chris Lilienthal wrote about this costly plan earlier in the week and later included a link to a news story after its final passage on Wednesday.
  • On food assistance, Chris Lilienthal highlighted an op-ed by Weis Markets CEO David J. Hepfinger explaining what a bad idea it is to impose an assets test on people who are seeking food assistance.
  • On health care, Sharon Ward shared the podcast of her appearance on WITF's Radio Smart Talk, in which she discussed the future of health and human services in Pennsylvania.
  • And in the Morning Must Reads this week, Mark Price highlighted a news report on a new study that predicts fiscal distress in Pennsylvania school districts thanks to state budget cuts, articles comparing the gas booms in North Dakota and Pennsylvania, and a piece examining whether the settlement between states and mortgage lenders over questionable document processing is accelerating foreclosure activity.

More blog posts next week. Keep us bookmarked and join the conversation!

Let the Facts Get in the Way of a Good Story: Private School Bus Services in Pennsylvania Cost More

The standard conservative narrative is that private delivery of services and goods trumps government delivery. In Harrisburg, for example, Governor Corbett’s Council on Privatization and Innovation often presents its goal as privatization, taking for granted that this will be more efficient and cost-effective.

In fact, the record on privatization shows that in many cases privatization fails to deliver promised savings and can undercut service quality. That’s part of why Cornell Professor Mildred Warner has found that local governments often bring work back in house.

Morning Must Reads: Predicting School Districts In Distress, Privatization and Hello Düsseldorf!

The Harrisburg Patriot-News reports this morning on a new study that predicts fiscal distress in Pennsylvania school districts thanks to state budget cuts.

Third and State This Week: Math Teachers Getting Pink Slips, Take the Money and Run, and Revenue Update

This week, we blogged about math teachers getting pink slips, a "take the money and run" philosophy on business subsidies, state revenues in February, and much more.

IN CASE YOU MISSED IT

  • On education, Mark Price explained why laying off math teachers, as some districts are doing to address funding shortfalls, is very bad decision that risks harming our long-term economic growth. Michael Wood highlighted a New York Times article on the impact of state cuts to public higher education across the country.
  • On economic development, Mark Price was humming the Steve Miller Band's "Take the Money and Run" when he heard about the closing of a battery company's Lehigh Valley operations, after the facility opened in 2008 with $4 million in business subsidies from the state.
  • On the state budget, Michael Wood wrote that February's General Fund revenue collections took a turn for the better in Pennsylvania.
  • And in other Morning Must Reads this week, Mark Price blogged about top incomes and adultBasic, the economic anxieties of the 1% versus the 99%, and water privatization in Harrisburg.

More blog posts next week. Keep us bookmarked and join the conversation!

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