It’s not surprising after 20+ years of trickle down economics, corporate welfare, and an over-reliance on housing construction that Arizona has one of the worst performing economies in terms of job growth and employment opportunities.
Is it time for a change? An Arizona public bank could do wonders for the state’s economy because a state bank would invest in Arizona.
Check out this story about widespread unemployment and underemployment and slow economic growth from 24/7 Wall St.
While the labor market has improved significantly since the depths of the recession in 2009, high underemployment may be an indication that the economy is still struggling. As of the first quarter of 2014, 13.4% of the nation’s labor force was considered underemployed, meaning they were unemployed, were working only part-time despite wanting full-time jobs or would like a job but had given up on actively looking.
The underemployment rate has dropped from its peak of 16.7% in 2010, which indicates that the labor market has improved. However, underemployment is still well above its pre-recession levels. Based on underemployment data for the first quarter of 2014, we identified the states where it is hardest to find full-time work.
Click here to see the states where it’s hardest to find full-time work
High underemployment is not unusual for many of these states. Even prior to the recession, five of the states…
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Arizonans for a New Economy 
Let’s face it, the very thing that California, Nevada, and Arizona have to offer, that which many of us seniors moved here for were not jobs but climate. If you don’t have a little income to put food on your table and a roof over your head better move to a more progressive place. That is exactly what our young people graduating from school are finding out. Suffer in low wage jobs and minimum opportunities or move away. Tucson is the Gateway for world trade, but until progressive heads prevail and options like public banking and investment in education are put in place what comes here will be forced on us not because we opened the door for them.
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You hit the nail on the head, Harvey. Arizona is bleeding college graduates because our economy has been based upon construction and tourism for too long.
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Are there any plans for public banks in Arizona, possibly as in Santa Fe?
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We’re working on it!
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Is there some basic info (brochure?) that could be presented to local governments for consideration? Wouldn’t a county bank be just as feasible?
I’m in Mohave county and wouldn’t mind contacting some of the people running for state office. When I talk to them at the “meet and greets” they don’t seem to have a clue.
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Don’t expect too much from most legislators, they have their minds set on narrow issues, how to run other people’s lives and very little knowledge how government works. There are a few “leaders” who manipulate the legislative process and control the purse strings. The Executive Branch its’ full-time hired and appointed guns deliver for the politically favored who put up the money and can turn out votes to get people elected. Look at the initiatives that have been successful and you will see the greatest movement for progress that has been made in Arizona is by direct citizen action. Legislators with the power to move things are able to stick around 6-8-10 years finally learn the system, where the bones are buried and able to work into leadership or work with leadership to deliver for their “pet projects”. Some are worthwhile and good, others questionable but bearable and a few are down-right wrong and usually destroy themselves. Back to the State Bank, the financial resources of the state could be captured and put to work for the best projects in the state bringing jobs and better economic conditions. Right now financial backing is dependent on existing banks, your connections and prior accumulation of wealth. It is said, the less you need the loan the more likely you are to get it. New ventures and people without connections to pull strings or do favors are hard pressed to find help. Banks like to bundle up large financial sums to one borrower than take risks on 10 small borrowers or finance high interest rate consumer loans with recourse to a guarantee performer. A state bank won’t end all, but certainly with the correct board of public governors the “playing field” opens. The adoption of public banking will depend on citizen actions.
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I think we should work on having one of our Legislators introduce a Constitutional Amendment to provide for establishment of a Public Bank in Arizona. It should allow for the sale of General Obligation Bonds for funds to loan. set up a State Public Banking Commission with the powers to appoint staff, etc. That way our group would have the frame work for an initiative to move forward after the Legislature adjourns. It would also give us some indication of support from Legislators, Press and Public. We need a worked out vehicle to push ahead, the Legislative Staff could work up a bill for a member to introduce. I am thinking we have a slim chance of passage but a legal frame work to push. If we have the authorization to establish a commission the Legislature could then be pushed to budget for it and get their first money together to move forward. Lots of work and details but this is a way to move forward,
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I didn’t realize that the AZ constitution doesn’t allow for government run banks,
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Sorry, I’m not saying the Legislature can’t establish a state bank because in a previous session there was a bill to do that. I am saying one way to get the job done and start a state bank with possible source of funds would be by Constitutional Amendment and providing a fund source. In order for the bank to be successful it must have funds to operate, using the deposits of state and local government funds would not provide the required funds as they would need to be “on hand” for payments as necessary. In order to create the economic activity the bank needs to have funds to put into business and industry for growth. The funds need to be available for long term 10-20 year repayments. The borrowing power of government at lower interest rates is one way raise funds. General Obligation or Revenue Bonds provide financing for government projects and repaid from tax or dedicated funding sources.
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