Good news for the state, the two state-level indicies of economic activity in Wisconsin are finally, after a year, pointing in the right direction. While many will attempt to credit Walker for this movement, one should remember that for many months, Wisconsin lagged far behind the rest of the nation in terms of economic recovery. But as the national economy has rebounded, and, owing to the interconnectivity of the American economy, a strong coattail effect is at work here.
The fact remains that Wisconsin is, quite literally, the last state in the lower 48 to recover from the recession. How is this a feather in Walker’s cap? Anyone with even the most rudimentary understanding of economics knows that a rise in national demand eventually lifts all the state boats. I suppose that is too much to ask of the Walker administration. Their efforts to scuttle the state economy over the last 13 months are now a matter of record.
First is the current, or Coincident Index
As you can see, only Alaska performed worse than Wisconsin, which remained unchanged from the month before. I suppose Walker would like to take credit for a halt in the state’s slide into the economic abyss, but he can’t. He’s benefiting from the coattail effect of the ongoing national recovery.
And now the 6-month forecast, or Leading Index
Again, Wisconsin is poised for strong growth because we have so much ground to make up after the economic armageddon of Walker’s first year in office.
I honestly hope that Walker continues to try and run on his record of economic disaster for Wisconsin. It should prove to be his undoing.