The thing about surpluses is they never last. Our nation’s federal system of 50 states makes it a laboratory of democracy and that is especially true in fiscal policy. Illinois, Louisiana and Kansas, for example, still wallow in budgetary messes,…
Targeted business tax breaks unhelpful to society
Governments have long used tax breaks, in lieu of direct subsidies, to attract business or real estate developments to a particular locality. This also has been a perennial political issue. The use of tax increment financing allows government to fund…
Productivity should be matter for thankfulness
On Thanksgiving, some people probably gave thanks for this year’s bountiful harvest. But I doubt many prayers included “and we give special thanks, dear Lord, for the increase in ‘total factor productivity’ over the past year.” Yet increases in economic…
Both of roadwork is a tax in kind
There’s more economics in a detour than meets the eye. Everyone pays taxes — sales, property, income or FICA — in money. But nearly everyone also pays taxes in kind. That’s an economist’s reaction to the news that a narrow,…