University economists testifies tax credits don't stimulates employment as promised

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Intro:	An economist and Department of Economic Development report differences in the effects of tax credits
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Wrap: An economist at a House Government Oversight and Accountability committee meeting says the tax breaks given to businesses through the Missouri Quality Jobs program are ineffective.

Lindenwood University Economist Howard Wall says the formula the state uses to calculate job creation is very complex, but

Actuality:	WALL6.WAV
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Description: "It's nothing but the model-builder's beliefs about how the economy works."

Committee Chair Jay Barnes voiced support for Wall's testimony.

Actuality:	BARNES5.WAV
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Description: "as a representative who was on a one man crusade it seemed like the start of last year against the REMI model I really appreciate your perspective."

Wall says the state's calculation is more of a prediction rather than an actual number of created jobs.

Reporting from the state Capitol, I'm Taylor Beck.

Intro:	An economist says tax credit programs are "completely ineffective."
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OutCue:	SOC

Wrap: A representative of the Department of Economic Development says tax credits for businesses through the Quality Jobs Act created eleven-thousand jobs in Missouri.

Though economist Howard Wall from Lindenwood University says the way economists calculate the effect of tax credits differs greatly from the way the state department does.

Wall says the state's calculation of eleven-thousand jobs is incorrect and that tax credits just don't work.

Actuality:	WALL1.WAV
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Description: "Independent research among academic economists is pretty much unanimous that these policies are completely ineffective."

Wall says contrary to the state's, his calculations show a decrease in employment.

Reporting from the state Capitol, I'm Taylor Beck.

Intro:	The Department of Economic Development and an economist have opposite views on tax credits' job creating effects.
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OutCue:	SOC

Wrap: While the Department of Economic Development says tax credit programs create jobs, economist Howard Wall of Lindenwood University says it's quite the opposite.

Actuality:	WALL4.WAV
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Description: "Might think well one of us is nuts...someone has an eleven-thousand increase in jobs and I have a decrease."

At a House committee hearing Wall says tax credit policies don't create jobs and can even harm employment.

Reporting from the state Capitol, I'm Taylor Beck.