Rural America's fiscal challenge
Fiscal challenges at state and local governments are a potential threat to the economic recovery in rural America. Rural communities depend heavily on intergovernmental transfers from the states to provide local services. Many people in rural communities rely on the state or local government for their jobs and on Medicaid as part of their income. Thus, rural economies are highly susceptible to state budget shortfalls. As state governments cut spending in response to looming budget deficits in coming years, rural America's fiscal problems may also deepen.
What is the outlook for local government revenues in the Tenth District?
Local governments, which rely heavily on property taxes and fund transfers from state governments, continue to struggle with slowing revenues - a situation that is likely to persist over the next few years. As new property tax assessments reflect declines in house prices, local property tax revenues may fall in some areas unless tax rates are increased. In addition, decreases in state revenues have led to a slowdown in state transfers to local governments. ; Felix finds that for this downturn, local government revenues from property taxes and state transfers combined were likely slowest in ...
COVID-19 Challenges State and Local Government Finances
As the coronavirus pandemic wreaks havoc on the U.S. economy, state and local governments will not be immune from the pain. In the near term, governments face liquidity challenges, as many tax deadlines have been postponed. In the longer term, governments will experience large revenue declines that may lead to significant budget cuts.
Key industries in the Mountain states
Population growth trends in the Mountain States
This issue of the Rocky Mountain Economist explores population trends since the 1990s across the nation and within the Mountain States.
The growth and volatility of state tax revenue sources in the Tenth District
With the sluggishness in the national economy in 2008, many state governments are projecting budget shortfalls for the 2009 fiscal year. This trend is a concern to policymakers, as the health of a state's tax revenues is important to its economic growth and its ability to finance the public services that residents demand. State governments provide physical infrastructure, educate the future workforce, and protect people and property. In addition, in the Tenth Federal Reserve District, state and local governments employ over 16 percent of the workforce. ; While a number of factors influence ...
Update on the Kansas and Missouri economies: Spotlight on Manhattan, Kansas
The Missouri and Kansas economies improved slightly during the fall of 2011. Employment in Kansas showed signs of consistent growth after weakening earlier in the year, while Missouri employment growth was flat. The Kansas unemployment rate edged up slightly, and the Missouri unemployment rate continued to fall. Commercial and residential real estate continued to be weak in both Missouri and Kansas. Farmland values increased in Kansas and Missouri, but overall agricultural conditions were mixed.
Lower Labor Force Participation Rates and Slower Population Growth Pose Challenges for Employers
As the nation recovers from the pandemic-induced recession, finding workers to fill job openings has beena headwind for many regions and industries. Although many researchers have pointed to the sharp declinein labor force participation rates as an explanation, the role of population growth over time has receivedless attention. We examine state and national trends in these measures and show that slower populationgrowth and an aging population may put downward pressure on labor force growth for some time.
Who offers tax-based business development incentives?
Many American communities seek to attract or retain businesses with tax abatements, tax credits, or tax increment financing of infrastructure projects (TIFs). The evidence for 1999 indicates that communities are most likely to offer one or more of these business development incentives if their residents have low incomes, if they are located close to state borders, and if their states have troubled political cultures. Ten percent greater median household income is associated with a 3.2 percent lower probability of offering incentives; ten percent greater distance from a state border is ...