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Gov't can provide quality service while saving taxpayers money.


A plan for balancing the Kansas state budget

Kansas Policy Institute President Dave Trabert presents KPI's plan to balance the state's budget without service reductions or tax increases. Trabert spoke a...
Thu, 18 Dec 2014 17:34:52 +0000
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Another reason to watch Seinfeld reruns. Economics lessons taken directly from the "show about nothing." http://yadayadayadaecon.com/clip/67/


The Soup Nazi (The Economics of Seinfeld)
yadayadayadaecon.com
The Soup Nazi makes delicious soup—so good there's always a line outside his shop. He refuses service to Elaine, and by a stroke of luck she comes across his stash of soup recipes. She visits his shop and informs him that his soup monopoly is broken, while waving his recipes in his face. Also in thi…
Wed, 03 Dec 2014 16:15:10 +0000
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Happy Thanksgiving and a hearty huzzah for property rights. https://www.youtube.com/watch?v=66QdQErc8JQ


The Pilgrims and Property Rights: How our ancestors got fat & happy

The Pilgrims founded their colony at Plymouth Plantation in December 1620 and promptly started dying off in droves. As the colony's early governor, William B...
Tue, 25 Nov 2014 16:14:47 +0000
Last Refreshed 12/20/2014 7:02:10 AM
KPIBlog
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KC Star editorial misses the mark on tax reform
Posted by Dave Trabert on Monday, January 9, 2012
A recent column by the KC Star’s Steve Rose (available here) tried to make the case that states with no income tax are only able to do so because they have unique revenue sources. Examples he gave included gambling in Nevada, tourism in Florida and oil & gas in Texas, Alaska and other states. Fortunately, Mr. Rose didn’t do his homework.

The key to having a low tax burden and/or no income tax is not access to extra revenue; it's how much you spend. Yes, some states with no income tax have unique revenue opportunities but they could just spend more and have higher taxes like other states. Instead, they’ve figured out that they can have good quality government services AND high job growth by controlling spending and keeping taxes low.

The nine states with no income tax spent $1,767 per resident in 2009 out of their General Fund. That was 27% less than the national average and 21% less than Kansas. If Kansas had spent at the rate of the no-income-tax states, we would have spent $1.1 billion less that year.

KPI compiled research comparing the states with the highest tax burden to those with the lowest tax burdens and also those with no income tax. The low burden states dramatically outperform high burden states on job creation, gross domestic product, wage & salary distribution and domestic migration (U.S. residents moving in and out of states). The states with no income tax tend to do even better.  Check out the facts here at our tax reform page.
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