 |
|
Entries for Newsletters
Tax Credits to Encourage Work
Current debate on taxes has snagged on the haves without progressing to the have-nots. Karl Scholz, a former deputy assistant secretary at Treasury, recommends in a new paper that the earned income tax credit (EITC) should be expanded through higher credits for childless workers and combined with wage subsidies. This idea and others will be discussed at a December 12 Hamilton Project Forum on facilitating and rewarding work.
Read More »
Facilitating and Rewarding Work »
Source: The Brookings Alert
Economic Mobility of Black and White Families
Why Do Gasoline Prices React to Things That Have Not Happened?
Have you ever wondered why gasoline stations raise their prices in response to fears about future supplies of oil? You may have thought to yourself, “I know the gasoline in the station’s underground storage tank was purchased before the world price increased. How can they raise the gas price now? The gasoline market must be rigged.” Read more
New Data Finds 17.6 Percent of Georgians Lack Health Insurance
|
Atlanta, GA - 17.6 percent of Georgians did not have health insurance coverage in the 2004-2006 period, according to Census Bureau data released today, giving Georgia the 10th highest uninsured rate in the country. Nationwide, the number of uninsured was 47.0 million (15.3 percent), up 2.2 million since 2005. While 11.7 percent of all children nationwide were uninsured in 2006, 19.3 percent of children living in poverty were without health insurance. In total, an additional 600,000 children nationwide were uninsured in 2006 compared to 2005.
"Despite American families continued struggle to afford health insurance for their children, some of Georgia's representatives in Congress continue to oppose legislation that would extend health insurance to millions of uninsured children across the country," said Alan Essig, executive director of GBPI. "As they return to Washington, Georgia's leaders should rethink that position," said Essig.
Poverty and Income Data
Census Bureau data released today show that over the 2005-2006 period, 13.5 percent of Georgians were poor, compared to 12.4 percent in the 2003-2004 period and 12.5 percent in the 2000-2001 period, just prior to and during the recession.[i] While not a statistically significant change, this data shows that poverty has not decreased since the last recession. Georgia ranked 15th highest among the states for overall poverty rate in the 2005-2006 period.
The Census Bureau also released data showing that child poverty in Georgia remained higher in 2006 than in 2001.[ii] And while median household income was unchanged as compared to 2005, it remained below its 2001 level. Taken together, these new data show that many low- and moderate-income families have not regained ground lost during the recession.
Poverty
The Census Bureau data shows that 470,000 of Georgia's children were living in poverty in 2006. The 2006 related child poverty rate was 19.7 percent, up from 15.7 percent in 2001. Child poverty was unchanged as compared to last year. Georgia ranked 14th highest among states for poverty among related children in 2006.
It is particularly disappointing that five years after the recession, child poverty rates in Georgia are not improving.
Income
In 2006, median household income in our state stood at $46,832. This was not a statistically significant change from the 2005 level, but was still $1,566 below the 2001 level in inflation-adjusted terms. This shows that despite five years of recovery since the 2001 recession, many low- and moderate-income households have not regained ground lost during the downturn.
Poverty and income vary greatly across Georgia. While Albany, Athens-Clarke County, and Valdosta metro areas have overall poverty rates of close to 23 percent, the Atlanta Metro Area has a poverty rate of just under 12 percent. Related child poverty rates vary from 31.5 percent in Brunswick Metro Area to 16.2 percent in the Atlanta Metro Area. Median household income ranges from a high of $55,552 in the Atlanta Metro Area to a low of $34,469 in Valdosta Metro Area.
"Although the economy is strong for many Georgians, Georgia has among the highest rates of poverty and uninsured in the nation," said Essig. "With Georgia having a median income of close to the national average, Georgia can afford to do better." [i] The two-year poverty figures cited here are from the Current Population Survey (CPS). Today the Census Bureau also released single-year figures on overall poverty in Georgia from the American Community Survey (ACS), but because of methodological changes, the ACS data are not comparable to prior-year data on overall poverty. [ii] The data on child poverty cited here are from the ACS and reflect poverty among "related children" - children that live with at least one family member. (Nationally, 98 percent of all children fit into this category.) These data are comparable across years. Data on overall child poverty - which includes children who do not live with relatives - are not comparable across years because of the methodological changes made in the ACS. |
 |
|
Mr. Essig is available to answer questions regarding this or any other GBPI report and can be reached at 404-420-1324, ext. 101 or by email at aessig@gbpi.org.
|
A Taxing Discussion
The Secretary of the Treasury gathered experts yesterday to discuss how the tax code is hurting American competitiveness. And that's not the only problem. Some individuals and corporations pay more than they probably should, while others pay less. And for most of us, filling out a tax return is needlessly complex. Bill Gale, who participated in yesterday's conference, recommends taxing all new corporate investment income only once. He explains how reform can make the tax system fairer and simpler.Read more
Read even more:
Fixing the Tax System (PDF)
Q&A: Tax Reform
High Fuel Costs Changing Driving Habits for Some Americans
Innovation, growth, equity
Innovation, growth and equity
-----------------------------
By Pedro Solbes: Economic theory increasingly stresses the importance of innovation as a driver of growth. "Innovation: Advancing the OECD Agenda for Growth and Equity" is the theme of this year's annual Ministerial Council and it reflects what many governments believe are clear priorities.
------------------------------------------------------
Towards a smarter, fairer future
--------------------------------
The dynamic relationship between innovation, growth and equity has clear potential for human progress. Harnessing this potential will help us craft a smarter, more prosperous and fairer future. Editorial by Angel Gurría, Secretary-General of the OECD.
-------------------------------------------------------
Building global partnerships
----------------------------
In January, Germany took over the presidencies of the European Union and the G8. The last time our country had this dual-chair role was in 1999. Our basic goal this year is to address global challenges and to tap fully the opportunities of globalisation. By Dr Matei Hoffmann, Ambassador of Germany to the OECD.
------------------------------------------------------
Globalization and U.S. Wages
Read more »
OECD Observer No. 4/2007 (106)
Personal assets - Whether you're an aged grandparent in Kenya, a 55-year-old manager in Kyoto, or a 25-year-old graduate in Kansas, the economic value of your education is rising.
Marrying the cook - Ever wonder what marriage and cooks have to do with economic growth? The OECD has the answer.
Headline feature of current Observer edition: Beating bribery - The OECD Anti-Bribery Convention has established itself as the first truly effective global instrument to fight corruption in cross-border business deals. But the key to further progress depends on the resolve and willpower of OECD member countries. By Angel Gurría, Secretary-General of the OECD.
Testing the Anti-Bribery Convention - The OECD Anti-Bribery Convention is ten years old in November, yet rarely has it been in the public spotlight quite as much as in recent months. We asked Mark Pieth, chair of the Working Group on Bribery, to explain.
Observer e-Alert - new articles
-----------
San Francisco is the wealthiest in a new OECD ranking of 78 metropolitan regions, with income of $62,350 per head, adjusted for purchasing power parity.Ankara was the poorest, with $9,551. The top 10 are all located in the US, with London (13th), Paris (18th) and Dublin (24th) being the only non-American cities to make it into the top 25.
------------------------------------------------------
China's investment watch
------------------------
Is China becoming more restrictive towards foreign investment? New rules on foreign mergers and acquisitions issued in 2006 suggest that it might be, even if those rules also include significant improvements.
------------------------------------------------------
News brief - March 2007
-----------------------
Rebalancing continues; GDP edges up-; -as inflation drops-; -and unemployment studies-; -though trade slows; Aid: More effort needed; Tax break; Spain in the chair; Plus ça change…
------------------------------------------------------
Can taxes on energy work?
-------------------------
Can taxation help governments achieve environmental goals with respect to energy use and emissions? Yes, with conditions.
------------------------------------------------------
New From the Georgia Budget and Policy Institute
Show Us the Money: Transparency Needed on Tax Breaks – Sound budget and fiscal policy demands that policymakers thoroughly examine Georgia’s broad scope of government spending. This can only be accomplished when direct spending and tax expenditures are fully disclosed and reviewed simultaneously. To facilitate this cost-benefit analysis, Georgia should require by law the inclusion of a tax expenditure report in the Governor’s annual budget. This report discusses other states experiences with tax expenditure reports and highlights what a tax expenditure report should contain.
Budget Notes: Winter 2007 – This issue of Budget Notes, the newsletter of GBPI, highlights the most recent research of GBPI as well as the latest state tax and budget news.
OECD Observer e-Alerts: Is health care getting better?
Smooth rebalancing?
-------------------
Until recently, the OECD area was enjoying a prolonged period of non-inflationary growth despite rising oil and commodity prices. But rather than a major slowdown, what the world economy may now be facing is a rebalancing of growth across OECD regions. From the latest Economic Outlook, just out.
------------------------------------------------------
Health care: Towards quality performance
----------------------------------------
The performance of health care systems is under scrutiny. The Health Care Quality Indicator Project can help identify what works and what does not. And that will help policy decisions too.
------------------------------------------------------
Swiss health
------------
Switzerland's health system is arguably one of the world's best, but at what cost? This is a question raised in a new report produced jointly by the OECD and the World Health Organization (WHO).
------------------------------------------------------
Chinese medicine and wisdom
---------------------------
The report entitled Challenges for China's Public Spending: Toward Greater Effectiveness and Equity, published earlier this year, identified education and healthcare as priority areas for public spending. Why does China need to spend more on education and health?
------------------------------------------------------
Beyond Our Shores
-----------------
If ever you are unsure about the advantages of open trade, why not take a lead from students in economics and consider the story of Robinson Crusoe. Tim Harcourt's "Beyond our Shores" focuses on Australia, the world's driest and only island continent, to argue the benefits, as well as the challenges, of globalisation.------------------------------------------------------
The Economists' Voice - new articles
Jesse Fried (2006) "Advance Disclosure of Managers' Stock Trades: A Proposal to Improve Executive Compensation", The Economists' Voice: Vol. 3: No. 8, Article 7.
SUMMARY: Despite the insider trading laws and Sarbanes-Oxley, Jesse Fried argues that executives still make billions of dollars of insider trading profits each year by timing their stock sales: requiring advance disclosure of such trades would go far to address this problem.
Robert Whaples (2006) "Do Economists Agree on Anything? Yes!", The Economists' Voice: Vol. 3: No. 9, Article 1.
SUMMARY: Despite the appearances to the contrary, survey evidence by Robert Whaples suggests that economists agree on a wide range of policy issues from free trade to educational vouchers. Climate change and Social Security remain areas of disagreement.
Aaron S. Edlin (2006) "If Voters Won't Go for Taxing Oil to Conserve Energy, How Do We Do It?", The Economists' Voice: Vol. 3: No. 9, Article 2.
SUMMARY: Proposition 87 reemphasized that Americans don't want the cost of driving to increase: Aaron Edlin suggests a way to reduce driving that may be more politically palatable.
Robin E. Pope (2006) "Letter: Replacing Payroll with Sales Taxes Shifts Risks from Firms to Governments", The Economists' Voice: Vol. 3: No. 9, Article 3.
SUMMARY: Robin Pope argues that Kotlikoff is right to favor shifting payroll taxes to sales taxes only Kotlikoff fails to mention all the benefits that would be obtained by the shift. One of these benefits would be aiding employment by shifting the burden of risk bearing from firms to governments that can shoulder the risk burden at a lower cost than most firms can because of their risk pooling abilities.
OECD Observer e-Alerts
Tax in a borderless world - Globalisation brings costs and benefits, but it has also opened the way to rule bending with “creative” accounting. Heads of tax administrations from 35 countries met in Seoul this September to step up their co-operation.
FDI soars - Foreign direct investment into OECD countries jumped by 27% to reach US$622 billion in 2005, with the highest inflows since 2001.
Globalisation and jobs: What policies? - One recurring theme in the debate about globalisation concerns displaced workers. The issue has come to the fore again in connection with the perceived threat to jobs in developed countries from "offshoring" of business services. Should policymakers be worried?
Why Doha matters - The Doha round of trade negotiations was launched in November 2001, but stalled in July this year. It should be relaunched. Here are just a few reasons why an agreement could make a difference for developing countries.
Inside the Vault [pdf]
The Impact of the Kalamazoo Promise
"Kalamazoo, Michigan, the hometown of the W.E. Upjohn Institute, recently became the site of an unprecedented experiment in economic development. Announced in November 2005, the Kalamazoo Promise guarantees full college scholarships to potentially every graduate of the 10,500-student Kalamazoo Public School (KPS) district. Behind the scholarship program is an economic development agenda that seeks to revitalize the city and the region through a substantial investment in public education."
OECD Observer
Jobs Strategy: Policy choices that work: A decade ago, when the OECD Jobs Strategy was first launched, unemployment was high and persistent in several OECD countries. Since then, a number of them have made significant progress to reduce joblessness.
Pension funds: Pensions funds in the OECD area have grown sharply over the last decade, from US$5.9 trillion in 1994 to US$15.6 trillion by 2004, representing a compound growth rate of 10.2% per annum.
Why growth counts: OECD governments have been more effective at bringing in reforms to raise labour productivity than at helping increase the number of people in work.
Germany's economy: Back to new strength? The picture of the German economy seems brighter than for quite some years. Should we feel confident?
Booming on: The Irish economy has transformed in recent years.
The Economists' Voice - special issue on tax reform
- Edward P. Lazear and James M. Poterba "Reforming Taxes to Promote Economic Growth."
- Michael J. Boskin "A Broader Perspective on the Tax Reform Debate."
- J. Bradford DeLong "Divergent Views on the Coming Dollar Crisis."
- Alan J. Auerbach "The Tax Reform Panel's Report: Mission Accomplished?"
- Leonard E. Burman and William G. Gale "Some Good Ideas, but Show Me the Money."
- Michael J. Graetz "Tax Reform: Time For a Plan C?"
OECD Observer e-Alert No. 91
- Globalisation is still just beginning: Editorial by Donald J. Johnston: The Dark Ages, the Renaissance, the Industrial Revolution
- German innovation: "Today every invention is received with a cry of triumph which soonturns into a cry of fear."
- Get width it: Beyond the haves and have-nots of mobile handsets, PCs or hand-held ITdevices....
- Tackling poverty: "The greatest of evils and the worst of crimes is poverty".
- Biofuels for transport: Can biofuels truly compete with petrol?
- Carbon dating: Can the Kyoto protocol, which came into force on 16 February this year,work?
- Change in the Middle East: When the OECD recently co-launched a new Middle East and North Africa project (MENA)....
- Sensible partnership: Maurice Fraser from London writes "Secretary-General Donald J. Johnston rightly identifies lack of coherence....
- Services: Services already make a substantial contribution to OECD economies...
- Old glory: One of the most striking paradoxes of today's OECD societies is that,although people live longer and healthier....
The Economists' Voice - new articles
Aaron S. Edlin "The Choose-your-Charity Tax: A Way to Incentivize Greater Giving". http://www.bepress.com/ev/vol2/iss3/art3
FEATURES
Robert Cooter and Brian J. Broughman "Charity, Publicity, and the Donation Registry". http://www.bepress.com/ev/vol2/iss3/art4
Robert H. Frank "Progressive Consumption Taxation as a Remedy for the U.S. Savings Shortfall". http://www.bepress.com/ev/vol2/iss3/art2
Jonathan R. Kesselman "Reform U.S. Capital Gains Taxation à la Canada". http://www.bepress.com/ev/vol2/iss3/art1
Robert J. Shiller "Life-Cycle Portfolios as Government Policy". http://www.bepress.com/ev/vol2/iss1/art14
