Publications -- Economy

Aug 02, 2007

BA #591 – The Environmental Costs of Ethanol

There is growing bipartisan political support for increased use of ethanol.  An energy bill recently passed by the U.S. Senate would increase mandated ethanol use in blended fuels from 8 billion gallons to 36 billion gallons.  Concern about global warming and the desire to improve air quality are stoking the demand for government action. 

Aug 02, 2007

BA #590 – Increasing America's Domestic Fuel Supply

High gasoline prices and concern about energy security are driving entrepreneurs to explore a variety of ways to produce transportation fuels.  For example, researchers are experimenting with technologies to turn turkey, chicken and pig litter, and used tires, into gasoline.  On the less exotic side, Congress is pushing ethanol. 

Jul 16, 2007

BA #588 – How to Fix the Alternative Minimum Tax

The Alternative Minimum Tax (AMT) is an income tax monstrosity that denies middle-to-high-income people deductions that would otherwise be legitimate.  The AMT requires an increasing number of taxpayers to compute their tax liability under the standard tax rules.  Then, they compute it under the AMT.  Then, they pay the greater of the two; minimum does not mean minimal. 

Jun 22, 2007

ST #300 – Taxing the Poor

The income tax is highly progressive.  It takes a higher portion of the income of the rich than the poor.  But federal, state and local governments raise revenues in a number of ways that are regressive, taking a greater portion of the incomes of the poor than the rich.  In some cases, the total dollar amounts paid by the poor are higher than the amounts paid by the rich.

Jun 01, 2007

ST #298 – Does It Pay to Save?

Does it pay to save?  The answer is often no.  In fact, penalties for saving are astronomical for some households, particularly young, single-parent and lower-income families.  But these are the very people who need the strongest incentives to save for retirement. 

May 21, 2007

BA #587 – Texas Health Care Reform

Policymakers are debating changes to the state's Medicaid program - the joint federal-state health care program for the poor - and discussing ways to provide coverage to the state's large uninsured population through the private insurance market.  Medicaid now takes 26 percent of the state budget, double the portion it consumed a little more than a decade ago. 

May 17, 2007

BA #586 – Is Health Spending Out of Control?

Since 1975, total spending on health care in the United States has doubled, and it now comprises one-sixth of the U.S. economy, or about $2.2 trillion.  By 2016, some projections show total health spending almost doubling to $4.1 trillion and consuming one-fifth of the nation's gross domestic product. 

Apr 19, 2007

BA #585 – Insuring the Uninsured: Five Steps to Improve the Massachusetts Plan

Massachusetts enacted an ambitious plan for near-universal health insurance coverage in 2006, the product of a compromise between then-Gov. Mitt Romney and the state Legislature. The cornerstone of the plan is mandatory health insurance. Individuals must purchase insurance directly or get it through an employer or Medicaid.

Apr 07, 2007

BA #584 – A Wiser Way For Retirees to Donate

Charitable gift funds are more than a toy of the nearly rich. They offer a surprising advantage to retirees with ordinary incomes. Using a charitable gift fund, a retired couple can increase their giving or increase the amount they spend on themselves. Or they can do a bit of both.

Mar 19, 2007

BA #583 – Pension Reform in Chile: Closing the Gap, Not Scrapping the System

A quarter-century ago, Chile replaced its traditional social security system with personal retirement accounts funded by workers and invested in stocks and bonds.  Chile's president recently proposed several modifications to its pension system, including a new retirement benefit funded by general government revenues.