There’s an Antidote to America’s Long Economic Malaise: College Towns

Source:
Wall Street Journal

December 12, 2016

OPELIKA, Ala.—Lee County, Ala., lost 7,000 jobs in industries from textiles to tires to fitness equipment when Chinese competition invaded America. Vacant storefronts dotted downtown Opelika, the county seat, and disability claims soared as older workers with limited skills struggled to find new jobs.

Instead of merely surviving, though, Lee County is now thriving. Its unemployment rate of 4.7% in October was slightly lower than for the U.S. as a whole. Since 2001, the east-central Alabama county has added 14,000 jobs, five times the growth rate in the rest of the country.

Why has Lee County been so resilient? One of the biggest reasons is that it is home to a major college town. During the manufacturing downturn that began in the late 1990s, Auburn University in Auburn, Ala., provided a steady source of employment, improved the nimbleness of the local workforce and helped attract new businesses to replace those that fled when times got tough.

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