According to Nicolas Loris and Filip Jolevski, last month's celebration about the creation of Illinois manufacturing jobs as a result of the $70 million, taxpayer-funded digital lab, may be short lived. In a recent Heritage Foundation article (HERE), Loris and Jolevski argue the Environmental Protection Agency’s (EPA) forthcoming climate change regulations are more than just a "war on coal," because the proposed limits for carbon dioxide emissions will extend well beyond the coal industry, hurting families and businesses and taking a significant toll on American manufacturing across the nation.
According to the authors, the manufacturing base in the Midwest will be particularly harmed by the EPA’s climate regulations.
As more coal generation is taken offline, the marketplace must find a way to make up for that lost supply. Manufacturing is an energy-intensive industry, and the impact of the higher energy prices on manufacturing averages to more than 770 jobs losses per congressional district nationwide.
However, not all regions are affected the same, as districts in Wisconsin, Ohio, Indiana, Michigan, and Illinois are especially hit hard. In fact, 19 out of the top 20 worse off congressional districts from the Administration’s war on coal are located in the Midwest region. In those districts, the manufacturing industry, on average, will slash more than 1,600 jobs by 2023.
Nicolas D. Loris is Herbert and Joyce Morgan Fellow in the Thomas A. Roe Institute for Economic Policy Studies and Filip Jolevski is a Research Assistant in the Center for Data Analysis at The Heritage Foundation.