We economists love a good object lesson for the vague principles and theories we discuss. That’s why the Tax Foundation’s “Tax Freedom Day” is so useful — it provides a clear, concrete example of how tax policy (which is boring) affects every American’s paycheck (which is very not boring). Tax Freedom Day is the date...
Polls show that the majority of Americans don’t think their taxes were cut with the landmark tax cut and reform bill signed into law by President Donald Trump in December 2017. But just in time for tax day, the New York Times published a well-written and counter-intuitive analysis by two of their economics reporters, Ben Casselman and Jim Tankersley....
No matter what the Trump administration tries to do — shake up the leadership of federal immigration agencies, force asylum-seekers to remain in Mexico, even build a massive border wall — none of it will do much to affect the current border crisis one way or another. That’s because the border crisis is actually an...
Remember shop class? If you’re under 40, you might not. Ask your parents or grandparents about it, and you’re likely to hear nostalgic tales of band saws, welding goggles, and wobbly birdhouses. But vocational education back in the day earned another, less rosy reputation. High school teachers and counselors often encouraged — or even compelled...
The one-pager outlines our analysis of how a “real cuts” plan compares with scenarios of a 2.5% rollback rate excluding debt and a 4% cap including debt. The current rollback rate is 8%, but it does not include local debt increases. Additionally, a tax ratification election on rates that exceed 8% can only be held...
While the debates over property taxes in the Texas Legislature are mostly held out in the open, the same can’t be said of negotiations surrounding property tax abatements under Chapter 312 of the Texas Tax Code. This controversial economic development incentive is brokered behind closed doors, even though it costs Texas taxpayers millions in foregone revenue. Residents of Concho...
Here’s some grandmotherly advice for lawmakers: Be sure you’re not jumping out of the frying pan and into the fire. In other words, when crafting legislation that will affect hundreds of millions of Americans, keep an eye out for unintended consequences that might make their problems worse. The Patient Protection and Affordable Care Act—popularly known...
The 2018 mid-term elections delivered California Democrats a firm supermajority in both legislative houses after years of steady, incremental gains. Now, as the 2019 legislative session begins there in earnest, it’s clear that the ascendant progressives who control both chambers are intent on increasing taxes. There’s a Democratic drive to hike taxes of every imaginable type – attorneys, car...
Will your paycheck go up by 5 percent or more each year for the next two years? That’s how much your state legislators may raise your taxes. While it’s not over until it’s over, the time to correct the Texas Legislature’s spending excess is quickly running out before sine die. Thankfully, Governor Abbott, Lt. Gov....
Michigan produces more cars and cherries than any other state, but it can do better with the state’s most important product: its children. Michigan is now just one of four states that automatically treats 17-year-olds as adults in the justice system, even for the lowest-level misdemeanors. Fortunately, legislation that was re-filed earlier this month with bipartisan support...
Benjamin Franklin said “By failing to prepare, you are preparing to fail.” It makes sense to prepare for the unexpected. That was the purpose of Texas’ Economic Stabilization Fund (ESF), also known as the state’s “Rainy Day Fund.” But there are efforts this session to abuse the ESF by excessively growing government. The ESF receives...
“Around the time my grandpa passed away I just knew I couldn’t continue to settle for a career that wasn’t fulfilling. For my first three years of college I studied mechanical engineering, and I was sitting in classes hearing about heat transfer and thermodynamics. But people were giving me little hints here and there. I...