Saturday, June 13, 2020

Poem Daybreak Luck!

Poem: Daybreak Luck

Day break new,
Cure the flu.

Darkness takes light,
overcomes the night.

Sing praises to heavens,
We got lucky 7s.

Thursday, June 11, 2020

Michigan Liquor "Social Districts" and "Cocktails to Go" Bills-Win Win For Delta County's Downtowns

The two Senate Bills 939 and 938 seem to be pushing for a pro tourism and restaurant state. These bills are helpful for tourism and restaurants. Of course not everyone is going to agree but we can say that it helps towns look more lively. I think of Delta County and its beautiful waterfront and downtown areas. Specifically, I think of Escanaba and how having outdoor areas could make a difference in the amount of visitors and downtown businesses that rely on visitors.

People don't want to visit downtown with old and empty buildings. They will come if it is lively, have lots of people around, and full stores. People come down to eat and then they shop so it can be a win win for local businesses.

-Senate Bill No. 939 Allows for "Social Districts where Alcohol can be served and Senate Bill No. 938 Allow for cocktails to take out/deliver.
  • Obtain a $300 annual social district permit in addition to their on-premises liquor license
  • Serve their drinks out of containers clearly marked with their name or logo
  • Make sure customers don’t leave the common area with open containers
Michigan will soon be able to add itself to the lists of states with Cocktails-to-Go. https://www.travelandleisure.com/food-drink/these-9-states-now-let-people-order-alcohol-to-go

Of course Michigan's favorite cocktail is 7 and 7. https://www.insider.com/most-popular-cocktail-in-every-state#michigan-7-and-7-23

As businesses are opening there is an increase interest in ordering cocktails to go and when they do they opt for a premium drink. https://www.shankennewsdaily.com/index.php/2020/05/08/25520/cocktails-to-go-see-rising-consumer-interest-nielsen/

2020-SIB-0939 

Tourist Micro-Manufacturing Can Improve Delta County's Manufacturing and DistributionSectors

Many local authorities try and improve their economies through a heavy focus on tourism and that strategy creates problems when market shifts such as COVID change the fundamental assumptions of the underlining economic mechanics. Tourism is still a great mechanism but should be utilized in a way that enhances other sectors in a way that creates stronger self-growth system that leads to economic resilience that can weather different unforeseen market challenges. Delta County Michigan has an opportunity to enhance tourism and manufacturing as complementary co-sectors by considering adding Tourist related micro-manufacturing to its sparse business downtown district in a way that creates spill overs to attract other sectors such as tourism, micro-manufacturing, manufacturing, resource extraction and distribution.

The sector approach to rejuvenating the economy has been supported in the literature and effectively  used in other places within the country. The Center for an Urban Future states that the sector approach can have a long term approach based on the benefits of moving beyond trying to use high incentives to retain companies to creating and enhancing multiple sectors at once (Bowles, 2002). In the case of Delta County we are pairing sectors that are most likely to succeed to create innovation and human capital spill over that leads to investment in other sectors. We can see how this might work in places where enhancing tourism, furthering its reach with tourist related micro-manufacturing can create benefits for attracting manufacturing and distribution into the area.

According to Tradeology  the official blog of the International Trade Organization, international tourism/traveling accounts for 32% of U.S. service exports and 11% of U.S. exports, goods and services (Lovis, 2019).They state that tourism encourages spill over investments because, "international visitors spend money while they are here, but they get to know our people, our places, and discover that the United States is a great place to do business and invest."

By looking at a general equilibrium model we are able to see how tourism and industry can work together. Tourism often revolves around local physical amenities. In Delta County area we may see these as forests (hiking, biking, hunting, etc...), waterfront (beaches, water skiing, boating, fishing, etc...), snow (cross country skiing, downhill skiing, etc...) or any other related outdoor activity. In their pure form these are not exportable and are non-tradable unless tourists are drawn to the area spend their hard earned money. They then become tradable in terms of memories, thrill, and investment potential.

Utilizing the framework of an economic geography (NEG) it is possible to better analyze the interdependence between tourism and manufacturing (Krugman, 1980, 1991). Most standard NEG models include agriculture that employs labor and manufacturing that utilizes labor and capital to produce value. Including tourism with a footloose capital model (Martin and Rogers, 1995) we can say that tourism produces goods and uses natural resources to manufacture those goods.

Principle: Micro manufacturing can create enhance tourism tradability in terms of an export product that further enhances manufacturing capacity in the area.

It was believed that when manufacturing rises it draws from the local labor pool away from tourism and visa versa. However, Micro tourism creates a type of bridge between SME manufacturing and tourism that can enhance both while creating an exportable product. Thus movement between the different sectors isn't necessary a detractor but could be a basis for raise human and intellectual capital in the area. One can act as a pool that helps further draw in qualified workers that raise international investment profile.

Delta County has experienced slow population decline over the past few decades. A primary reason is that there are few new local industries and the area has become misaligned to the global markets. Tourism, Micro-Tourism Manufacturing, Manufacturing, and Distribution can create jobs and draw people into the county from the U.P./Wisconsin and major cities. People in the region are often struggling to find high paying work. Escanaba/Gladstone could be that new area manufacturing powerhouse by implementing stronger economic development strategies.

When the influx of tourism income exceeds any short-falls in labor allocation we have the ability to create pro-industrialization (Zeng & Zhu, 2010). As tourism increases, and tourism manufacturing increase it will draw in labor and skills that can be used for other manufacturing endeavors. In such a situation Escanaba/Gladstone become net draws of investment, tourism, manufacturing and jobs. Micro-Tourism Manufacturing can further enhance tourism income while becoming a building block that draws manufacturing, resource allocation to feed that manufacturing and a distribution system that maximizes the county's geographic advantages.

Principle: Tourism and micro tourism manufacturing can create labor draws and spill over knowledge.

According to the study Industrial Agglomeration it is possible for small open economies to not only be net exporters of manufactured goods but also net exporters of tourism (Zeng & Zhu, 2010). They used the example of a North and South economy to conduct an equilibrium analysis that indicates while there is interplay between agriculture, manufacturing, and tourism it is possible to have tourism and manufacturing as net positives to an economy. 

Some of this is base in part on the cost of transporting goods, labor, and resources. Delta County and area has some cushion in labor that can help feed a growing tourism, resource extraction, manufacturing and distribution industries. Tourism micro manufacturing can feed and be training grounds for the other industries in the area. Skills can be further strengthened through Delta County Community College and the nature development of interactive clusters.

Principle: Tourism and tourist related micro-manufacturing with exportable products can enhance other sectors.

There has been discussion for some time locally on methods of enhancing tourism. This is where good local policies of selling downtown empty buildings to tourist related micro manufacturing to national needs for manufacturing and efficient exportation can make a boon situation for Delta County. The process of change starts with rethinking what our international brand is and putting in place the components needed to draw interest.

Almodovar-Gonzalez, M., Fernandez-Portillo, A. & Diaz-Casero, J. (2020). Entrepreneurial activity and economic growth. A multi-country analysis. European Research on Management and Business Economics, 26 (1). https://www.sciencedirect.com/science/article/pii/S2444883419301913

Aremu, M. A., & Adeyemi, S. L. (2011). Small and medium scale enterprises as a survival strategy for employment generation in Nigeria. Journal of sustainable development, 4(1), 200. Retrievedhttps://s3.amazonaws.com.......

Bowles,, J. (2002). A Case for sector-based economic development strategy. The Center for Urban Future. Retrieved June 8th, 2020.


Krugman, P. (1991) “Increasing Returns and Economic Geography”, Journal of Political Economy, Vol. 99, No. 3, pp. 483– 499.

Lovis, P. (May 6, 2019). Travel and Tourism Means Big Business for the United States, Including Manufacturers. Tradeology Blog. Retrieved June 7th, 2020 from https://blog.trade.gov/2019/05/06/travel-and-tourism-means-big-business-for-the-united-states-including-manufacturers/

Martin, P. and C. A. Rogers (1995) “Industrial Location and Public Infrastructure”, Journal of International Economics, Vol. 39, No. 3–4, pp. 335–351.


Fed Chair Jerome Powell Discusses Fiscal Policy Among Covid

Covid has taken a significant hit to the U.S. economy as well as economies around the world. A recent spike impact stocks in at least the short term. We cannot afford to continue to shut down our economy in order to keep the virus at bay but will need to consider focusing on the development of better policy and ensuring that those who need to be protected are in order to encourage economic sustainability. The Fed Reserve has other sources to use to keep liquidity in the market that allows the money to move and the economy to maintain some level of working capital. He projects it may take a couple of years to recover. I hope it is faster than that and we can start to see recovery in the third and fourth quarters assuming no large spikes.


Wednesday, June 10, 2020

White House Press Secretary Kayleigh McEnany (June 10, 2020)

This video discusses bases and renaming. There were some important job and economic points being made.

Videos of Diving the Nahant Shipwreck in Escanaba Michigan

Escanaba offers a number of different diving opportunities that range from the relatively shallow to the very deep. The Great Lakes have a history and legacy and shipping. In the the case of the Nahant it was a fairly easy dive for beginners. Much of the ship is still there and that includes the bow, stern, and boiler. Some of the items found on the boat are in the museum just a little away so that gives a great opportunity to learn about the ship.

It takes a minute to get out there and find the ship. Look for the green can and it will be before that and the very large ridge you will run into if you go too far. The stern is closer to the reader. I would like to dive further and take a closer and slower look.

http://images.maritimehistoryofthegreatlakes.ca/55897/data

Isle Royale Begins Reopening Process

Looks like some of the parks are starting to open up again. I have never been there but definitely on my place to go this summer. I just have to patch that hole in my dinghy. 😬

Isle Royale Begins Reopening Process
Washington - On June 1st, Rep. Jack Bergman sent a letter urging the National Park Service to take steps to ensure access to public lands and outdoor recreation at Isle Royale National Park. Today, the Isle Royale National Park Announced a phased reopening plan. The full release can be found below:

Following guidance from the White House, Centers for Disease Control and Prevention (CDC), the Michigan Safe Start plan, and local public health authorities, Isle Royale is increasing boat access to the park.

Beginning June 10, 2020, overnight anchoring for boats will be allowed in the Lake Superior waters of the park. Boaters need to get an anchoring permit in advance from the Houghton visitor center by calling 906-482-0984 or emailing ISRO_parkinfo@nps.gov. Please pay entrance fees in advance at www.pay.gov.

All park facilities (docks, trails, visitor centers, campgrounds, shelters, outhouses) remain closed at this time. Details on further opening of the park, tentatively scheduled for late June, will be issued in an upcoming press release.

When recreating, the public should follow state and local area health orders, practice Leave No Trace principles, avoid crowding and avoid high-risk outdoor activities. The CDC has offered guidance to help people recreating in parks and open spaces prevent the spread of infectious diseases.

Details and updates on park operations will be posted on the park website https://www.nps.gov/isro/index.htmand social media channels. Updates about NPS operations will be posted on www.nps.gov/coronavirus.