Public banking: The other winner in 2017 elections (subscription)

With the election of Democrat Phil Murphy as its next governor, New Jersey inched closer to becoming the second state in the country to establish a state-run, taxpayer-owned bank.

Murphy, a former Wall Street investment banker, is among a growing number of progressives who support the creation of more public banks as vehicles for funding infrastructure projects and stimulating economic development in underserved neighborhoods. Though efforts to create public banks in other states have failed in recent years, Murphy’s resounding defeat of New Jersey’s lieutenant governor in last week’s election — in a state where the legislature is already controlled by Democrats — is being seen as a much-needed shot in the arm for the broader public-bank movement.

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