(KPLR) – Despite the surge on Wall Street, Charles Jaco looks at why the Midwest is still feeling a slump, as the economy improves.
You want to know why Missouri’s economy is stalled and why it's likely to get worse. It's not because of labor unions, like the right-to work folks claim. It's not because our business taxes are too high, like the tax slashers claim. Missouri's business taxes are among the nations lowest. We're stuck in the doldrums because too many cutting edge 21st century entrepreneurs think Missouri is a backwater.
Take a Missouri Supreme Court ruling this week that tossed out tax credits for high tech and biotech businesses. It's called MOSIRA, the Missouri Science and Innovation Reinvestment Act. The state supreme court invalidated MOSIRA on technical grounds. But people who think embryonic stem cell research equals abortion, sued to stop it. They're very happy at the ruling.
Remember the fiasco last year, when the state legislature killed tax credits for a china cargo hub at Lambert? Lawmakers clearly said they didn't care about becoming a global 21st century trade hub. Right to Life forces who helped kill MOSIRA say the same about scientific research here. Add that to the Missouri law against gay marriage, and you have a package guaranteed to repel modern innovators financially and culturally.
It’s not that Missouri’s taxes are too high. It's not that seven percent union membership in the state means too many unions. Our economy's stagnant because Missouri gives off the clear impression that this whole 21st century thing is a bad idea.
I'm Charles Jaco and that's Jacology.