Studies have shown that each one percent tax increase lowers output per worker by about two percent. That finding has been confirmed by state-by-state comparisons between high-tax and low-tax states.
Local Government
Examining Local Government Spending Trends From 2014 to 2023
City and county spending has outpaced growth in population and inflation, leading to an increase in the tax burden on Texan taxpayers. Key points: Local government spending continues to outstrip increases in both population and inflation. From 2014 to 2023, local government spending rose by 61.2%, whereas population and inflation increased by only 42.7%. Elevated...
March 6, 2026