We hear a lot these days about public resentment of government. But a new Idaho poll gives further evidence that, when confronted by the real impact of the record revenue losses that states and localities have suffered due to the recession, Americans favor a balanced approach that includes new revenues instead of just fewer public services.
BEYOND THE NUMBERS
A number of 2010 gubernatorial candidates propose to reduce or eliminate their state’s corporate income tax, saying this will stimulate growth and create jobs. But, while states are understandably eager to get their economies moving again, corporate tax cuts will not likely work. Among the most important reasons why:
Below are the answers to today’s quiz on the impact of government programs in boosting the economy and reducing hardship during the recession. Send an email to firstname.lastname@example.org today with your final score for the challenge and we’ll send you one of our newly-designed Center on Budget T-shirts.
Nebraska Governor Dave Heineman’s call for education leaders to support health reform’s repeal on the grounds that the state would have to finance it through big cuts in education is based on a gross overestimate of the law’s likely impact on the state.
Today we sat down with Senior Fellow, Liz McNichol, to discuss why some states have ended their fiscal year with budgets in the black even as the state budget crisis continues.
Today’s Wall Street Journal editorial (“Virginia Is for Surpluses”) trumpets Virginia’s $400 million surplus for fiscal year 2010 and praises Governor McDonnell for closing the state’s large budget shortfall without raising revenues. But both parts of this argument have serious flaws.
A new Congressional Budget Office analysis finds that the 2009 Recovery Act is
continuing to save jobs and protect the economy from what would have been a much deeper recession. As of June, the Recovery Act had:
The day President Obama signed an extension of assistance to states to preserve jobs in education and health care — August 10 — Mississippi Governor Haley Barbour said that accepting the money would make his state worse off, since Mississippi would have to take up to $75 million in state funds away from law enforcement, mental health, and other needs to qualify for the federal funds.
No state has been hurt more by the recession than Michigan, where unemployment tops 13 percent and home values have plummeted in many areas. So a few days ago, when many communities across the state voted on ballot questions to raise money for local services, the result could only be a disaster for supporters of higher taxes, right?