Despite Indiana’s recent high-profile business deals, the state’s economic fundamentals lag, with declining incomes and education levels being major challenges.
Experts argued that sustainable growth requires further investment in education and infrastructure.
Michael Hicks, director of Ball State University’s Center for Business and Economic Research, pointed to some alarming numbers.
“The percentage of adults with a college degree is decreasing relative to the rest of the country,” Hicks said. “Our per capita income relative to the country has fallen by a significant 2 percentage points. This is a shocking change in 30 years in 20 years.”
While state officials cited low unemployment and increased capital spending as evidence of success, Hicks argued without focusing on education or infrastructure, and Indiana’s long-term economic outlook remains uncertain.
State officials highlighted new projects aimed at expanding electric vehicle battery manufacturing operations in Indiana, including a $3.2 million investment in Kokomo by Stellantis and Samsung SD, as signs of progress. But Hicks warned that the announcement did not address deeper economic issues.
“The numbers they are sharing are just what they have measured through IEDC (Indiana Economic Development Corporation),” Hicks said. “It has nothing to do with the actual amount of capital coming into the state, which is lower than it has been in years. So nothing great is happening other than press releases.”
Hicks believes Indiana should prioritize improving education, environmental policy and regulation to create sustainable growth.
