Taxation

Mortgaging the Economy

By Justin Katz | December 8, 2012 |

Marc Comtois highlights another fascinating glimpse into the reasoning behind policy ideas that he and I agree are, well, in error. I’m speaking of this paragraph from Slate’s Matthew Yglesias: … I’m especially enthusiastic about the mortgage part. Suppose homeowners in expensive coastal cities couldn’t deduct their mortgage interest, what would happen? Well, what would…

Stop Spending

By Marc Comtois | December 5, 2012 |

As Michael Barone points out, historically, no matter the tax rate, tax receipts have almost never eclipsed 20% of GDP. The only time they did (20.5%) was in 2000 just before the dotcom bubble burst. Here’s the chart: Source: Economic Report of the President 2012, Appendix B, Table B-79, p. 412. As Barone explains: In…

Things We Read Today (36), Wednesday

By Justin Katz | November 28, 2012 |

Threats to the economy (cliffs and debts); RI lagging again (yawn); dependors and dependees; Social Security a problem; and a civil right to the war zone frat party. Continue reading on the Ocean State Current…

To Starve or Gorge the Beast?

By Marc Comtois | November 21, 2012 |

“[W]e’ve got to reduce spending before we can reduce taxes. Well, if you’ve got a kid that’s extravagant, you can lecture him all you want to about his extravagance. Or you can cut his allowance and achieve the same end much quicker. But Government has never reduced. Government does not tax to get the money…

Things We Read Today (26), Wednesday

By Justin Katz | October 24, 2012 |

Mainly on government’s bad incentives: bad housing spending in Providence, unlearnable spending lessons for the governor, stimulus corruption, and Medicaid reform. Continue reading the Ocean State Current…

Cato Gives Governor Chafee a D in Fiscal Policy

By Justin Katz | October 10, 2012 |

In a white paper out yesterday from the Cato Institute, Governor Lincoln Chafee (as the chief executive of the Rhode Island government) received a score of D for fiscal policy.  His score of 41 is based on spending, revenue, and tax changes that he proposed and/or that were implemented under his watch from January 2010…

Tiverton Toll Meeting Shows Rhode Islanders Have to Stop Fighting Fire with Paper

By Justin Katz | September 28, 2012 |

Last night, I attended the first organizational meeting for the Tiverton branch of Sakonnet Toll Oppostion Platform (STOP), a cross-community effort to stop the state of Rhode Island from placing a toll on the Sakonnet River Bridge.  If I was skeptical about the ability of residents to prevent the tolls before, I’m pretty well convinced that…

Even a 100% Tax on Millionaires Wouldn’t Close Federal Deficit

By Marc Comtois | September 24, 2012 |

“Even if the government took all of the income earned by those who have an after-tax income of $1million or more, the amount of revenue generated would fall far short of eliminating the deficit.” More related charts here.

House Makes it easier for Buffet, billionaires to pay down Federal debt

By Marc Comtois | September 20, 2012 |

The House of Representatives–on a bi-partisan voice vote–passed the “Buffet Rule Act”, which allows anyone to voluntarily pay more in taxes. Under the legislation, which would still need Senate approval, taxpayers could check a box on their taxes and send in a check for more than they owe to the IRS. “If Warren Buffett and…

Things We Read Today, 1

By Justin Katz | September 3, 2012 |

One thing I’ve learned, in years of blogging, is to be wary of proclaiming new regular features.  Yet, I’ve been finding myself at the end of each day with a browserful of tabs of content on which I’m inclined to comment. So, as interest and time allow, I’ll publish quick-hit posts containing commentary that is…