AUBURN - Economist and Auburn University PhD Mark Thornton, a Senior Fellow at the Mises Institute, joined hosts Brandon Moseley and Harry Still III on the Heart of Dixie Podcast this week for a wide‑ranging conversation on Alabama's political climate, the opening days of the 2026 legislative session, and the economic pressures shaping policy decisions statewide.
The episode arrives just days after Governor Kay Ivey delivered her final State of the State Address, setting the tone for what is expected to be a consequential session for taxes, spending, and regulatory reform.
Thornton, known nationally for his work on Austrian economics, government spending, and regulatory overreach, offered a sharply analytical perspective on the challenges facing Alabama lawmakers.
Thornton on the 2026 Legislative Session: "The stakes are higher than ever"
While the podcast description notes that new legislation is already being filed, Thornton emphasized that the broader economic environment-not just the bills themselves-will determine Alabama's trajectory this year.
He pointed to three major forces shaping the session:
1. Inflation's lingering impact on Alabama families
Thornton argued that inflation, even as national rates cool, continues to hit Southern households harder due to energy costs, food prices, and wage stagnation.
He suggested that lawmakers should evaluate whether state‑level policies-fees, licensing rules, and regulatory burdens-are unintentionally amplifying those pressures.
2. Government spending and the risk of long‑term obligations
Thornton has long warned about the dangers of expanding state budgets during periods of economic uncertainty.
On the podcast, he reiterated that Alabama must avoid "ratcheting up" recurring spending based on temporary revenue surges, especially with federal support programs winding down.
3. The need for structural reform, not symbolic legislation
Thornton encouraged legislators to focus on reforms that improve long‑term economic freedom-such as occupational licensing reform, tax simplification, and reducing bureaucratic friction for small businesses.
On Governor Ivey's Final State of the State Address
Thornton offered a respectful but critical analysis of Governor Ivey's final address.
He acknowledged her role in maintaining stability during turbulent national years but argued that Alabama still faces deep structural challenges that cannot be solved through one‑time programs or incremental adjustments.
Thornton suggested that the next governor will inherit:
- A tax code that remains overly complex
- A workforce system struggling to adapt to post‑pandemic realities
- Persistent rural‑urban divides in economic opportunity
- Infrastructure needs that require long‑term planning rather than short‑term political cycles
He emphasized that Alabama's next era of leadership must be "bold, disciplined, and grounded in economic reality."
Thornton on the Role of the Mises Institute in Alabama Policy
As a Senior Fellow at the Auburn‑based Mises Institute, Thornton highlighted the organization's growing influence in shaping economic debate in the state.
He noted that more lawmakers are seeking out alternative economic perspectives-particularly those skeptical of government expansion and supportive of market‑driven solutions.
Thornton framed this as a positive development, arguing that Alabama benefits when policymakers are exposed to a wider range of economic philosophies.
A Conversation Rooted in Alabama's Future
Hosts Brandon Moseley and Harry Still III guided the conversation toward the practical implications for everyday Alabamians-small business owners, farmers, working families, and retirees navigating rising costs.
Thornton's message was clear: Alabama stands at a crossroads.
The state can either:
- Double down on policies that expand government's footprint, or
- Pursue reforms that strengthen economic freedom, reduce burdens, and empower local communities.
He urged lawmakers to choose the latter.
Conclusion
The Heart of Dixie Podcast continues to carve out a space for substantive, Alabama‑centered political discussion, and Thornton's appearance adds another thoughtful voice to the state's policy conversation.
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