Considering Tax Expenditures In State Budget Deliberations
I. Introduction I am going to speak generally about three components of state public finance: first, tax revenue; second, government expenditures; and third, the allocation of the tax burden. I will illustrate how tax expenditures, such as sales-tax exemptions and other preferential laws, affect each component of public finance. In all of this, we must [...]
Will Cutting The Payroll Tax Increase Jobs? (Empirical Evidence From The EU VAT)
Red Ink Rising, the Peterson-Pew Commission on Budget Reform’s report,[1] presents the country with a fiscal/employment dilemma – Congress must act immediately to stem the federal debt, but it must move carefully lest it harm employment in the fragile economy. In short, we must act fast and slow – we must decrease the debt and [...]
Minimizing the Harm Of State Fiscal Volatility
David Gamage and Jeremy Bearer-Friend This report’s primary concern is how U.S. state governments should respond to the fiscal volatility created by their balanced budget constraints. Applying the principles of risk allocation theory to this recurring problem, we conclude that states should primarily adjust the rates of broad-based taxes as their economies cycle, rather than [...]
Coping through California’s Budget Crises in Light of Proposition 13 and California’s Fiscal Constitution
When Proposition 13 passed in 1978, many commentators predicted disaster for California’s state and local finances. Now, 30 years later, California is experiencing severe fiscal instability and a round of budget crises that has been worse than in the other states. It would be wrong to blame Proposition 13 for all of California’s financial woes. [...]
Two Years of the Shelf Project
A. The Impending Tax Crisis The Congressional Budget Office estimates that the federal budget deficit for 2009 will total $1.6 trillion, or 11.2 percent of GDP.[1] Over the coming decade, federal spending will average twice that (22.5 percent of GDP) without much chance of finding significant amounts of unpopular spending that we can cut.[2] Looking [...]
Expert Tax Advice Seminar – Q & A
Expert Tax Advice Seminar – Q & A thebusinessdesk.com,business,income 50%,budget Author: TheBusinessDeskTV
