By Diogo Costa, President

Foundation for Economic Education.

. . . New York mayor Zohran Mamdani used his inaugural address to promise he would replace the “frigidity of rugged individualism” with the “warmth of collectivism.” It is a clever bit of rhetoric. Mamdani himself seems like a nice and warm person. And the imagery works. To be “cold” is to be isolated, shivering and alone. To be “warm” is to be embraced, held, and safe. Collectivism here appears as this kind of coming in from the cold, a fire around which we gather, a blanket that covers us all. 

Anyone watching the AppleTV show Pluribus might recognize something in Mamdani’s promise. The series imagines an alien hive mind which has absorbed almost all of humanity. What makes it terrifying is that the hive is warm and nice. Those who join it seem content. Blissful, even. The collective embraces you. You are never alone.

But something in us recoils when we watch that. There’s a difference between voluntarily joining a community and being absorbed by one. We want to belong somewhere, but we also want to remain someone. At what point does “warmth” become a fever? We want the freedom to control our own thermal state. Sometimes we don’t want to be warm. Sometimes we want to step outside, feel the cold, and return when we choose..

What individualism actually names is not self-isolationism, but self-possession, and the capacity to be somewhere and still be yourself.

In The Abolition of Man, C.S. Lewis described a society that had traded objective moral reasoning for something softer, what we might call niceness, or agreeableness, or simply going along with the group. Such a society, Lewis warned, would produce “men without chests”: people with appetites below and intellects above, but no trained moral instinct to connect them. Just calculations about what the group wants and how to stay in its good graces.

The warm collective doesn’t ask you to be brave and it doesn’t reward those who stand for something. It requires you to be agreeable. And eventually, Lewis predicted, a society that educates this kind of person will be ruled by “Conditioners”: warm tyrants, benevolent managers. When everything becomes negotiable, including human dignity itself, someone will do the negotiating.

The young are especially susceptible to this. They’re caught between two powerful forces: a genuine desire to be their own person and a desperate hunger to belong. No matter the generation, young people often think of themselves as individualists. They reject their parents’ values, question authority, cultivate an aesthetic of independence. But scratch the surface and you find a tribal engine running at full speed. 

This is a kind of false individualism, not in the strict Hayekian sense, but in the young one. Think of the vibe of independence, the posture of not caring, the costume of rebellion. It directs its skepticism only at the people who have always offered support (family or traditional values) while remaining defenseless against peer conditioning. It says “I don’t need your approval” to parents while desperately seeking approval from strangers online.

False individualism has no immune system against the warm collective. It’s more concerned with managing reputation than building character. When the social weather shifts, it shifts with it.

True Individualism, in this sense, is the capacity to stand somewhere even when there is a massive social cost. It requires that “trained chest” Lewis wrote about: courage, honesty, and a commitment to standards that exist outside of vibes.

When we hear Mamdani’s socialist discourse, the initial temptation is to answer him with better arguments. And we should make better arguments. The case for economic freedom, voluntary cooperation, and limited government is stronger than the case for collectivism, which, as in Mamdani’s version, must always hide its costs and exaggerate its benefits.

But better arguments aren’t enough. If the only problem were ignorance, we’d win debates and then win people. But we can win the argument and lose the person. We can be right and still be dismissed.

Because the person we’re talking to isn’t just reasoning through the argument. They’re managing their social position. They’re calculating what it will cost them to agree with us. In 2026, many young people get that free markets work or that individual liberty is what made America the most successful nation in human history. But they also know that saying so might result in “social death.”

This means that defending freedom requires more than white papers and op-eds. It requires forming people who can carry freedom forward. People whose instinct isn’t to check what’s popular before deciding what’s true. People who have practiced the discipline of saying what they think even when it’s unpopular. And who know from experience, that you can survive social disapproval and come out the other side.

This is the cultivation of a trained chest. The development of what Leonard Read called high moral character: the habits that let you do the right thing when doing the right thing is hard.

FEE has never been embarrassed about this. Consider Leonard Read or Henry Hazlitt or any of the great figures in our tradition and you’ll find the moral language of character and the dignity of peaceful cooperation. That there is something dignified about a person who takes responsibility for their own life, and something degrading about a system that treats people as instruments of collective ends.

The collectivist version isn’t actually warm. It’s a simulation of warmth. It provides the feeling of belonging without the substance. As in Pluribus, you’re embraced, but you’re also trapped. The group accepts you only so long as you accept its terms, and those terms include not being too much yourself.

Real warmth comes from genuine relationships with people who know you as an individual. People who love you as you are, not as a member of a category or an identity. Real warmth requires boundaries, because without boundaries there are no individuals, and without individuals there’s nothing to connect.

In recent years, 22 percent of the employed have reported holding a government-issued license, in professions ranging from physical therapy to cosmetology to public school teaching. Because occupational licenses can be costly in time and money to obtain, licensure matters for how the labor market performs and who can access economic opportunity, stated a recent report from the Federal Reserve Bank of Minneapolis.

Montana is second, only to Maine, in having the most licensed occupations. Maine licenses 28.5 percent of their professions and Montana 28 percent, with 154,100 licensed workers in 2024. The national average is 21 percent.

Occupational licensure, both the share of workers who have a license and the number of licensed occupations appear to have stabilized in recent years, after several decades of growth.

By one estimate, the share of workers who were licensed in the 1950s was only about 5 percent. At the time, most people worked jobs that tended to be unlicensed: almost half of the employed were working in agriculture, mining, construction, or manufacturing. In the decades that followed, the share of licensed workers rose to 22 percent, and it’s stayed roughly at that level in recent years (2016-2025). The rise in the share of licensed workers was driven by two factors: occupations became newly licensed in many states, and employment shifted toward the service sector.

When deciding whether to license an occupation, states appear to be looking to each other: the decisions of adjacent states and a few bellwethers like California, New York, and Texas all have predictive power for when a given state licenses an occupation. Professional associations also matter. Once an association is organized in a state, licensure or other forms of regulation become dramatically more likely.

When the tasks in an occupation become more complex, the existence of professional associations themselves may become more likely. Another factor is whether an occupation is exposed to competition from immigrants. Prior work by Minneapolis Fed researchers found that licensing disproportionately reduces employment of foreign-born workers.

Regardless of the reason for the enactment of occupational licensure, one pattern in the data stands out: delicensure is rare. An occupation that started out licensed in any given year from 1950 to 2020 remained licensed 99.9 percent of the time in the next year.

Throughout the second half of the twentieth century and into the 2000s, the share of occupations that transitioned into licensure kept rising, to a high of 3.6 percent in 2001–2010.

Many occupations are currently licensed in some but not all states. The Federal Reserve publication concluded, low- and moderate-income workers bear a particular burden to the extent that the costs of licensing fees and delayed employment are large relative to their incomes. In turn, this burden deters interstate migration by licensed workers and can impair the efficient functioning of U.S. labor markets.

To address some of these issues, roughly 20 states have enacted universal licensure recognition (ULR) reforms with the intent of making it easier for licensed professionals to move among states and continue to work. Using data from the Montana Department of Labor & Industry, researchers volume of licensing in Montana pre- and post-ULR adoption and describe the challenges licensing boards face as they adjust their practices to comply with the new policy.”

In recent decades, some licensing authorities have attempted to reduce interstate licensure barriers by constructing profession-specific compacts. Among other anticipated benefits, these compacts aim to make it easier for licensed individuals to work across state lines—temporarily or after a permanent move. However, a compact can take many years to coordinate across participating states, has limited scope and may result in states agreeing to higher levels of requirements than some policymakers would prefer.

ULR is designed to avoid those downsides by allowing states to set their own standards for how to acknowledge licenses from other states. In March 2019, the State of Montana enacted a ULR reform by changing one word at the beginning of the relevant state law, from “A board may issue a license to practice …” to “A board shall [emphasis added] issue a license to practice … .” The reformed law requires boards to license out-of-state applicants if their original state license requires “substantially equivalent” education and experience. Some states have implemented even stronger reforms that omit that language.

Some proponents of Montana’s reform testified in legislative committees that the bill was a critical fix for workforce issues. They gave examples of workers licensed in other states who had to pay thousands of dollars for additional educational credits or who passed up opportunities because of differences in licensing requirements across states. Other supporters emphasized that the bill “simply reflects what is currently happening” or would reduce licensing-processing times.

Overall, Montana experienced an increase in licensing from 2012, when a total of 7,429 licenses were issued, through 2022, when a total of 15,575 licenses were issued, with particularly strong growth from 2020 through 2021. Licensure by endorsement grew especially quickly, from 2,428 licenses issued in 2012 to 7,527 in 2022.

Jodie Cross has purchased the Montana Trolley Company, in Kalispell, from Scott Davie. The business will be mostly run by Cross’ daughters Tamina and Kaylee. The business has been operating in the Flathead Valley for 13 years.

The U.S. Department of Commerce has announced that Montana State University will be home to a newly established Community Engagement Office for the U.S. Patent and Trademark Office. The office will support workforce development in the state and region, especially in the advanced manufacturing and computing sectors. The office will provide inventors and entrepreneurs a direct connection to federal intellectual property resources and guidance tailored to Montana’s technology ecosystem. 

A panel of Montana state medical board members has voted unanimously to revoke the medical license of Dr. Thomas Weiner. Weiner was a the former Helena cancer doctor who has been accused of prescribing unnecessary treatments and harming patients.  The ruling prohibited him from practicing medicine in Montana ever again.

Intermountain Health Holy Rosary Hospital in Miles City has been recognized as high performing among the Best Hospitals for Maternity Care in America, The rankings were compiled by U.S. News & World Report in its annual rankings.

A logging and fuels reduction project near the mouth of Rock Creek has been approved by the Lolo National Forest. The  project has the stated goal of reducing wildfire risk in a high-priority area along the Clark Fork River.

Glacier Park hosted 2.95 million visitors between January and September of this year. Officials said they expect the final total to be around the park’s record high. The current record, which was set in 2017, is 3.3 million annual visitors. Driving the surge in visitation is a shift toward more shoulder-season recreationalists. May visitation has increased 26% since 2021, and visitation during September and October has also been on the rise. Next summer, visitors will likely be able to enter the park at any time without securing a vehicle reservation beforehand. The shift is part of a program that officials said are intended to address two of the park’s most persistent issues: overcrowding at Logan Pass and an ineffective shuttle system. They also plan to enforce a three-hour parking limit on all personal vehicles at Logan Pass.

All of the financial and physical assets of the Dawson County Economic Development Council were divided among seven local organizations after its board  voted unanimously to dissolve. Until this last week members of the DCEDC had not convened for an official meeting since October 2024 when they agreed some revolutionary changes were needed in order to sustain the local economic development organization.

In a 3-2 decision, the Helena City Commission appointed Alana Lake as the next Helena city manager. Lake was most recently the executive director of the Montana Public Service Commission. According to the City, she has more than 10 years of experience in military and federal law enforcement.

Elote Mexican Bar and Grille in Missoula closed permanently on Jan. 4. The restaurant opened two years ago. The restaurant offered authentic Mexican cuisine. The restaurant opened under the same ownership group as Liquid Planet and Pangea.

Citizens for a Better Flathead are petitioning for stronger lake and lakeshore protections on Whitefish Lake. These actions are also rekindling a decades-old debate on the jurisdiction of Whitefish Lake. The group has filed an appeal with Flathead County calling for accountability.

Yellowstone Wildlife Sanctuary (YWS) has received a grant from the National Fish and Wildlife Foundation. The grant is part of the Montana Community-Bear Conflict Prevention Efforts Fund. The panel evaluated ten proposals and approved funding for YWS’ proposal for Red Lodge and Carbon County. The grant is a reimbursable grant approved for $30,965 to support community bear awareness education and outreach.

A coalition of Montana counties has petitioned the Department of Interior (DOI) to vacate a 2022 decision that allows American Prairie Reserve (APR) bison to graze on BLM allotments. In response, DOI Secretary Doug Burgum on December 9 took the extraordinary step of assuming jurisdiction over a review of the 2022 decision. The Montana Natural Resource Coalition of Counties (MTNRC) points out that BLM lands are reserved for livestock grazing and cannot be rewilded. BLM regulations give grazing preference to cattle, sheep, horses, burros, and goats. APR’s plan to remove 3.5 million acres of Montana land from agricultural production is viewed as an existential threat to the ranching communities in their target area. Without preferential treatment from BLM, APR’s plan to rewild and depopulate this area will become more difficult.

Former Williston fire chief Matt Clark has entered the Williston City Commission race. Clark, who resigned from his position with the fire department in November 2025, said the decision to run was not finalized at the time of his resignation. but became clearer as he reflected on his career in public service. 

Grizzly bears in the Greater Yellowstone Ecosystem have faced a record number of deaths in 2025, with 73 recorded deaths to date. According to new data from the U.S. Geological Survey, 2025 recorded the highest number of grizzly bear deaths since 2015. Only six bears’ deaths were due to natural causes. Twenty-one of the 73 deaths were due to perceived conflicts with livestock growers. Eighteen bears were killed after being attracted to human-dominated areas in search of unsecured attractants like garbage.

Butte-Silver Bow’s chief executive officer has established an ad hoc committee to answer questions about the proposed Sabey Data Center in Butte. The chief executive has been a strong supporter of a proposed $1 billion data center. The committee looking at the project isn’t aimed at taking sides.

The Glasgow City Council Personnel Committee has met to begin the process on replacing the Glasgow Public Works Director Paul Skubinna, who resigned, and the Glasgow Police Chief Robert Weber who has announced he will be retiring this year.

Ryan Busse, a 2024 Democratic candidate for governor, has announced he will compete for Montana’s western U.S. House district in this year’s election. Other Democrats seeking the Democratic nomination are Sam Forstag, of Missoula, Russell Cleveland, of St. Regis, and Simms native Matt Rains.

An animal tested positive for brucellosis in Gallatin County, the state Department of Livestock reported in December. The state received confirmation that the animal was positive and the herd has been quarantined, The Department of Livestock does not identify the species of animal as a rule for confidentiality.

Following the allocation of low-income housing tax credits in October, CR Builders LLC of Billings received notification of funding awards totaling over $2 million from two federal programs. The HOME Investment Partnership Program and Housing Trust Fund, both administered by the Montana Department of Commerce, provided the additional resources for the Saddlehorn Apartments, a 30-unit affordable housing project planned for Miles City’s Last Chance Subdivision.

Montanans wouldn’t know it but most of the state’s river basins have begun the year with normal to above-average snowpack in the mountains, according to the season’s first federal water supply report. The report states that Montana shows normal or above-normal snowpack in most of the state’s river basins.

Reecia’s Salon and Spa Whitefish has been in business for 25 years. Salon owner Reecia Maxwell has been a stylist for 33 years.

Chronic wasting disease was recently detected in a mule deer buck taken by a hunter east of Stanford in Hunting District 419. Multiple rounds of testing confirmed that the deer was positive for CWD. This is the first time CWD has been detected in Hunting District 419.

By Evelyn Pyburn

Every day one hears people complain about the rising cost of gasoline and vilifying the oil industry, with charges of gouging consumers.

The comments often conjure up memories for me, of sitting in the car at the gas station in Manhattan, Montana, where a big sign typically stated that the price of gas was 25 cents. Since I hated the “down time” of buying gas– bearing in mind it was a lot longer than most folks would think since Dad enjoyed long chats with Mr. Stoner, the gas station owner  – I had lots of time to stare at all the signs Mr. Stoner posted.

I also remember clearly, the howling and lamenting that one heard when gasoline hit 30 cents a gallon. Just as loud as complaints today.

So I have wondered how much gasoline has really increased in price since then, when inflation is factored in. The reality is – not much.

So let’s go back to 1960 —  the price of gasoline was 31 cents per gallon. Web sites claim that is the equivalent to about $3.30 today. The average price of gasoline is currently about $3.16, according to AAA as of October 2, 2025. In some places in Billings it is $3.06, so in reality it is a something of a bargain.

Gasoline is even more of a bargain than the price would suggest. Over those past 65 years a lot of new technologies have been brought to the market to generate much greater value. For example back in 1960 a gallon of gasoline took you only about ten miles, today’s cars get some 24 miles per gallon (depending greatly on the vehicle).

Of course there is lots of data out there comparing that to hybrid vehicles, but most of those calculations do not reveal the true cost of the electricity to run a vehicle, which is generally the trick that the Green Group does all the time in attempting to prove their case. They seem to believe that if energy generation is subsidized, it’s free. But it’s not free to taxpayers and it is not economically viable in a competitive market without a subsidy, which means it is not a sound or sustainable solution. Maybe someday it could be, but it never will be as long as it is subsidized.

Of course there is nothing unique about inflation’s impact on gasoline – inflation is seen in most commodities.  In the 60s cheeseburgers were 27 cents and fries were 17 cents – and maybe less. I recall being able to buy lunch, including a Coke, at the downtown café for 30 cents.

A ribeye steak could be had for $1.59. And almost any candy bar – now marked up to sometimes $3 and $4 – could be had for 10 or 15 cents. There was even this thing called “penny candy.”

Deodorant was 69 cents; a new refrigerator was $300, the cost of college per year was between $500 – $1,140; and a house was $12,000.

So where did all the value of the difference in those prices go? For the most part the government collected on inflation.

If you want to complain about prices you should complain about inflation because that is where the average citizen gets ripped off.  Inflation is when the US government – totally unchallenged – increases the money supply – which quite literally means they print more paper dollars – garnering a huge windfall in being able to spend those new dollars before their lower value works through the system. This is why inflation is often referred to as a hidden tax. Most people do not understand what causes inflation because the politicians use the term interchangeably when they just mean that prices are higher. They have no intention in revealing its true nature.

Prices rise not because costs have increased but because the US government has deflated the value of your hard earned dollars, and quietly pocketed the difference.

If not so tragic it would be funny when a government official gives a definition of inflation as being increased prices, especially if it’s the head of the Federal Reserve.

To be honest, inflating the money supply is outright theft. So we do have a reason to complain, but our complaints should not be directed at businesses or industry, which have in large part been able to keep things affordable due to improved technology despite the constant increase in the money supply.

The US Treasury recently announced it will stop making the penny. Producing one penny cost almost four cents, costing the US Mint $85 million a year. This isn’t the first time this has been considered by Congress. The Cato Institute said that the penny should have been jettisoned long ago, but previous efforts in Congress failed in part because a special interest benefits from its continuance.

The penny was originally made of copper, now it’s made of zinc and it has been the lobbying efforts of zinc producers that has kept Congress from acting.

They say the nickel too should be eliminated – or the government should let the private sector make those coins if they want. It costs the government 13.8 cents for every nickel it makes. It costs 5.8 cents to make a dime and 14.7 cents to make a quarter.

Another interesting trend is that transactions done with cash are becoming less and less. Last year cash transactions of less than $25 declined by 16 percent.

Costs of child care was a significant issue during this session of the Legislature. Legislators addressed it with the passage of House Bill 456, which would allows all child care workers with children of their own eligible for state welfare assistance through the Best Beginnings program. Child care with a focus on early childhood education was also included among a number of issues that will be supported with the creation of a $10 million fund, which also includes support for bridges, water projects and state pensions.

Geting Started Clinic’s for the Montana Women’s Run started this week and continues every Monday hereafter until Race Day on Saturday, May 10. Getting Started Clinics begin at 5:30 pm in Pioneer Park. It is a fun opportunity to get into shape for the big race. Bring a friend. Win a prize.  There’s no better way to greet spring.

April 20 is the deadline day to make sure that when you sign up you will get a fabulous t-shirt by race day. It is also deadline for signing up a team. Team Captains get a special prize. And it is the deadline for nominating an outstanding woman for the Pat Jaffray Award. If you know of a woman who has been an inspiration to all around her and has made the lives of others better, nominate her for this very prestigious award. Get details on the website womensrun.org, where you can also REGISTER!!! You can also volunteer by emailing mwrvolunteer@gmail.com.

Montana Women’s Run is celebrating over 40 years of this renowned event which annually attracts some 5000 women who fill the streets of downtown Billings to participate in the 2-mile and 5-mile races – Rut it! Walk it! Live it! Everyone who registers gets a unique, specially designed t-shirt. People may also participate virtually and many do, from around the globe. (Get details on line.)

Proceeds from the event benefit charitable organizations in Billings that contribute to women’s and children’s health and wellness. To date, the Run has donated more than $1,827,500 to local organizations. The Montana Women’s Run began in 1982 with just 200 registrants and celebrated last year with over 5,600 women participating, including virtually, from around the world.

Major sponsors of the 2025 Montana Women’s Run are AVA Law Group, Billings Clinic, Par Montana, First Interstate Bank, Graphic Imprints, The Planet 106.7, and KTVQ. Tell them Thank You!

Despite a high-performing job market, economic growth in Montana slowed in 2024, continuing a three year decline following the pandemic year boom of 2022, when the state had one of the fastest growing economies in the US, according to Jeffrey Michael, the new director of the Bureau of Business & Economic Research during its annual Economic Outlook Seminar. It looks like growth for 2024 is going to come in at about 2.4 percent of non-farm earnings – better than what was predicted.

In 2023, Montana fell back to a level closer to its historic average, and is likely to maintain that average in 2025 with a projected growth rate of 1.7 to 1.8 percent, which Michael said may be a bit too pessimistic. 

Even though there has been much talk about Montana’s population growth spurt, the reality is, in 2024, Montana’s population growth fell to its lowest level in decades. At the same time, Montana’s traditional resource-based industries of agriculture, mining, and forest products, all experienced downturns in 2024.

Other projections for Montana is that the population growth will slow even further; the full impact of mining and wood products closures and their layoffs are likely to be further felt in 2025; and interest rate sectors will get little relief.

 Inflation is down but it hasn’t been defeated. Because of that the Federal Reserve has indicated it is going to pause in reducing interest rates in 2025.

The good news will come after 2025, according to Michael. It’s then that moderate population growth will resume; the state’s tech industry will continue to mature; and new investments are likely in mining, energy and tourism.

Michael said that Montana’s population grew slower than that of the US for the first time since 2012. At 0.5 percent population growth in 2024 was the lowest in two decades. The decline happened for several reasons. Net migration into Montana from other states dropped to 5,400 in 2024 from a peak of 20,500 in 2021. Also, according to Michael, Montana has not felt the surge in international in-migration (legal and illegal) that has powered recent population growth in other states. Montana ranks last in international migration and is the only state with fewer than a thousand international migrants in 2024. However, births exceeded deaths last year, which was the first time that natural population increased in several years.

Even though population growth has slowed, the impacts of the earlier rapid growth are still being felt throughout the state. Most notably are persistent high housing costs. In fact, Montana’s population growth will likely remain slow until housing prices and income become more balanced, which may take years.

While the future is highly uncertain in 2025, Montana is likely to maintain slow to moderate growth because Montana is less dependent on international trade and immigration than other states and will likely be less affected by growing global uncertainty and changes in federal policies.

The seminar highlighted the emerging technology of AI (Artificial Intelligence). In introducing the subject, Pat Barkey said they wanted to focus on AI, because of its potential to benefit Montana businesses. Pat Barkey will retire in June as BBER’s director, a position he has held for 17 years.

AI has the capability to enhance productivity and it could enhance almost every industry, said Michael. “You could see significant productivity gains in the future.”

While aspects of AI have been coming at us for several years, its advances were little noticed until it gained the ability to write text, compose music and create art, said Barkey, adding “The speed of its development has been torrid.”

A question that is often asked is “will AI take over my job?” And the conference answer to that was, “No, but someone who understands AI will.”

Barkey said the question that many are asking: Is this going to be like the Industrial Revolution in bringing the entire economy to a different level of growth?

“It’s been a fast moving phenomena,” said Barkey, “What it is really good at is dealing with piles and piles and piles of unconstructed data.” It holds the promise of being able to increase the growth in productivity, which is significant, said Barkey, because “growth and productivity in the economy is what fuels our standard of living.”

We learned a “heck of a lot about production” in World War II, said Barkey.  “We put those lessons to use in the following decades. Coming out of the 50s and 60s, we had relatively high average growth.”

Since then there has been some fluctuation in the 80s and 2000s because of the internet and computers.

According to Barkey, “There has been no game change in the technological development in the economy since World War II. . . nothing like the industrial revolution ‘that changes everything’. . .  Nothing has moved the needle to the entire economy to take productivity to a new level. AI might not be that but it sure looks like it has a lot of promise. . . It doesn’t take much to make a really meaningful change in the economic standard of living ..  . The economy averages about 2.5 percent since WWII.  If we moved it up 3 percentage points out to the year 2040, then we would have almost 50 percent more economic output in the economy than we would have without that extra growth. A little change across the entire economy in the largest economy in the world, gets a whole lot done.”

Personal income growth slowed to 1.2 percent in Montana during 2024, about half of the 2.3 percent growth in 2023, and much slower than the more than 6 percent growth experienced during 2020 and 2021. 2024 was the first year since the Covid upheaval that Montana income grew slower than the US.

Earnings growth in 2024 in construction and the service sectors outperformed resource-based industries over one-year and five-year periods. Construction lead all industries in real earnings growth at $272 million, followed by health care and retail trade with both experiencing over $100 million in earnings growth in 2024.

Montana’s resource-based industries experienced a very difficult 2024. Farm earnings – extremely volatile – show a very sharp decline, after strong earnings in 2022. Mining earnings also declined by about $190 million in 2024, and the full effects of the Sibanye-Stillwater mine closure may not be fully captured in the data. Forestry activities experienced a $19 million earnings’ decline and wood products mill closures are a factor behind an $18 million decline in manufacturing earnings.

So what is sustaining job growth in Montana?

Jobs are less affected by the declines in commodity prices and real estate sales that have pulled down incomes.  Montana’s job growth was 1.5 percent in 2024, strong enough to rank in the top five states, but only half the 3 percent job growth seen in 2023. Jobs grew fastest in construction and services, with declines in mining, finance and real estate.

Said Michael, “The US economy has seen a much more dynamic labor force and a more dynamic business center in the past couple of years more than we have seen in the past decade or two.”

People ask why the US economy does so much better than Europe and other countries, according to Michael, who explained,  “Labor market researchers found that the US worker is two and a half times more likely to change industries and occupations than a worker in Europe. In the US workers are much more willing to change or move to a new sector that is more productive or where labor is more needed.  We have also seen an increase in entrepreneurship, individuals who are willing  to take a risk and start a business —  all of which is beneficial for the economy. And the last thing is the population growth. It is a controversial topic, but there is no doubt that it is a contributor. . . US population growth was more than we anticipated and more people means more workers and more demand in the economy.”

During the 2010s, continued Michael, people were scratching their heads and asking what happened to the American entrepreneur in the 2010s? “The rate of business start- ups was a mystery.” Since 2020 the level of entrepreneurial business creation has increased and sustained at higher levels. “

The latest NFIB Small Business Optimism Index showed a big breakthrough in the attitudes Main Street entrepreneurs now have about the economy, rising in November to 101.7 from its 50-year average of 98, according to the National Federation of Independent Businesses (NFIB).

The mammoth change breaks a 34-consecutive-month drought below the half-century average. Remarkably, of the 10 components in the index, nine increased, none decreased, and one remained unchanged.

“Montana’s small business owners have had a little better attitude toward the economy than those in other states thanks primarily to our Legislature’s understanding of their importance to the jobs they create and the deep involvement they have in their communities,” said Ronda Wiggers, state director for NFIB in Montana. “In fact, you could say Montana held down the fort while waiting for the national picture to change. Should there be an improved state and federal policy sync, a prosperous economy lies ahead for all.”

 “The election results signal a major shift in economic policy, leading to a surge in optimism among small business owners. Main Street also became more certain about future business conditions following the election, breaking a nearly three-year streak of record high uncertainty. Owners are particularly hopeful for tax and regulation policies that favor strong economic growth as well as relief from inflationary pressures. In addition, small business owners are eager to expand their operations.” Key Findings from Report include:

* The net percent of owners expecting the economy to improve rose 41 points from October to a net 36%, the highest since June 2020. This component had the greatest impact on the overall increase in the Optimism Index.

* The net percent of small business owners believing it is a good time to expand their business rose eight points to a net 14%. This is the highest reading since June 2021.

* The net percent of owners expecting higher real sales volumes rose 18 points to a net 14% (seasonally adjusted), the highest reading since February 2020.

NFIB’s monthly Small Business Optimism Index is the gold standard measurement of America’s small business economy. Used by the Federal Reserve, Congressional leaders, administration officials, and state legislatures across the nation, it’s regarded as the bellwether on the health and welfare of the Main Street enterprises that employ half of all workers, generate more net new jobs than large corporations, and gave most of us the first start in our working life. The Small Business Optimism Index is a national snapshot of NFIB-member, small-business owners not broken down by state. The typical NFIB member employs between one and nine people and reports gross sales of about $500,000 a year.

Glendive Market President Jim Trotter has been promoted to Eastern Montana Regional President and current Eastern Montana Regional President, Brian Cooley, Miles City, will assume a new corporate systemwide role, effective January 1, 2025.

Trotter will have oversight of all the eastern Montana Stockman Bank locations, which include Miles City, Hysham, Terry, Glendive, Richey, Wibaux, Sidney, and Plentywood. Additionally, he will help ensure Stockman continues to meet the needs of local communities, small businesses, agricultural producers and area consumers.

Trotter was raised on a third-generation family ranch near Richey and has more than a decade experience with Stockman. He has served in several leadership roles, most recently as the Glendive Market President. Trotter earned his Master of Professional Accountancy degree, as well as his Bachelor of Science degree in business with an accounting option and a minor in agricultural business from Montana State University-Bozeman. He also holds the designation of Certified Public Accountant and is actively involved with the Dawson Community College Foundation and the Richey Saddle Club.

Cooley will move into a corporate systemwide role, continuing to manage a number of his ag relationships and serve on the loan committee. This role will allow Cooley more time with family and at the ranch.

Cooley was raised on a fifth-generation family ranch in Musselshell County and has more than 36 years of Ag banking experience.  He has been with Stockman since 2011 and has served in several leadership roles, most recently as Eastern Montana Regional President. Cooley earned his Bachelor of Science degree in business, with a minor in economics, from Montana State University- Bozeman. He is also a graduate from the Northwest Ag Credit School at Washington State University in Pullman, Washington; the American Bankers Association Graduate School of Finance; and the Northwest Banking School at the University of Portland. He is involved in a variety of activities that benefit the community and youth while spending his spare time on his family’s ranch.

Trotter will remain located in Glendive at 204 West Bell Street and Cooley will work from Stockman Bank’s Miles City and Billings locations.