1. October 7, 2015 Alexandra Forter Sirota, Director Budget & Tax Center Changing Demographics & Economic Conditions in North Carolina

2. A non-profit, non-partisan project of the North Carolina Justice Center founded in 1994 to conduct fiscal and economic analysis of the policies and issues impacting low- and moderate income families in North Carolina MAJOR ACCOMPLISHMENTS: Repealed the state tax on groceries Produced the first Living Income Standard resulting in a Legislative Study Committee and supporting a minimum wage campaign that was successful Established a State Earned Income Tax Credit Secured a balanced approach to the budget shortfall during the Great Recession Maintained income taxes during prominent tax fight in 2013

3. We believe that facts matter & that facts must be accessible to make an impact.

4. THE POLICY OPPORTUNITY

5. IN THE SHORT RUN A slow economic recovery characterized by too few jobs and concentration of job growth in low-wage industries and occupations Persistent and concentrated economic hardship in certain regions of the state. IN THE LONG RUN A changing demographic with rapid urbanization and rural decline, increasing diversity driven by a growing Latino population Ongoing transformation in the economy from manufacturing to service sector industries and a future of work that requires policy attention

6. Higher Productivity without Better Pay Percent Change in Productivity and Hourly Compensation, 1979 to 2014

7. Majority of North Carolina Counties Still Have More Unemployed Workers than Job Openings

8. Actual Unemployment Still Above 10% Unemployment Rate almost Doubles when “Missing Workers” are Included Source: Budget and Tax Center Analysis of Local Area Unemployment Statistics, July 2015. For full methodology, see BTC Brief: Lack of Jobs Drives Exodus from Workforce in North CarolinaBTC Brief: Lack of Jobs Drives Exodus from Workforce in North Carolina

9. Source: NC Budget and Tax Center. “North Carolina’s Greatest Challenge: Widespread Struggles Remain a Grave Threat to Economic Growth and Us All.” April 2015.

11. Ten North Carolina counties experience persistent poverty. Counties with poverty rates of 20% or higher for three decades

12. In 40 of 100 counties, the state is losing its working-age population.

13. North Carolina will be a majority minority state by 2050. People of Color by Age in Each County shows the Demographic Shift Underway

14. Immigrant population grows by 3,000 percent since 1960

15. The NC economy would have been $63 billion larger without racial gaps in income.

16. THE POLICY IMPACT

17. State Spending as a Part of the Economy Will Keep Shrinking, Remain Below the 45-Year Average Source: NCGA-Approved General Fund budgets via OSBM Post-Legislative Summaries and FRD Budget Highlights; FY15-17 budget deal; and BLS State Personal Income and Projections using 5-15 Consensus Revenue Forecast. Total General Fund appropriations as a share of state personal income

21. SNAP Benefits Stabilize North Carolina SNAP Benefits, In millions Source: Congressional Budget Office, 2007-2013 SNAP State Activity Reports. Note: Projections based off Congressional Budget Office Federal projections. SNAP benefits received in NC more than doubled due to the recession. SNAP costs are expected to decrease and then stabilize as the economy improves. SNAP costs will only increase as the population increases.

23. Source: Moody’s Analytics

24. BUILDING AN ECONOMY THAT WORKS FOR ALL

25. TIPS ON USING DATA TO IDENTIFY THE POLICY OPPORTUNITY/ IMPACT Tell a story Provide descriptive visuals or use social math to make numbers concrete Use the fewest numbers to accurately present your findings Make the connection between the data and lived experience and policy solutions

26. www.ncjustice.org Email me at: alexandra@ncjustice.org Follow us on Twitter at: @ncbudgetandtax