25 January 2020

HOMESTEADING 2.0 > Shrinking States Offer Perks To New Residents: Cash, Land and Job Connections

That calls back-to-mind America’s homestead programmes of the 19th century, when the federal government gave land to settlers willing to move west.
Arizona no doubt grew by metes-and-bounds back then 160 acres at a time!
Here in Maricopa County and the City of Mesa, it's growing fast all over again with expanding Suburban Sprawl.
That's quite the opposite of some other states who are offering certain incentives.
Shrinking states offer perks for new residents
The Economist | Jan 23rd 2020
"Vermont is one of many states with a population that is dwindling. Around 80% of counties across the country—largely those clustered in the north-east and Midwest—lost working-age adults from 2007 to 2017, according to the Economic Innovation Group (EIG), a think-tank. Some 65% will lose working-age adults over the next decade.
The scale of this decline is new, precipitated by an ageing workforce, falling fertility rates and less immigration.
Population declines affect housing markets, municipal finance and local economies.
Fewer people means less housing demand, tax revenue and business

Are such efforts effective?
"Amy Liu, who directs a metropolitan-policy programme at the Brookings Institution, a think-tank, warns that local attempts to woo companies can backfire. Sometimes companies leave when incentives such as tax breaks expire. Attempts to woo people could suffer from some of the same pitfalls. Ms Liu also wonders if such experiments might be too small to have an impact.
John Lettieri, the head of EIG, says place-based visas for immigrant workers may help areas with population and labour shortages.
Vermont could certainly do with an immigration boost. Fewer than 500 people arrive each year. Those counties that are growing have immigrant populations.
Vermont’s commerce secretary, Lindsay Kurrle, says she is “realistic” about her state’s programme. She says she knows people are not going to move to a new state for only a few thousand dollars. Nor will the programme alone solve the state’s demographic problems. Still, she hopes it will encourage more people to consider Vermont. . . "
This article appeared in the United States section of the print edition under the headline "Shrinking states offer perks for new residents"

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