Debunking Minnesota Economic and Fiscal Policy Myths

by | May 3, 2018

Minnesota is a land of 10,000 lakes and almost as many misconceptions about the size of government, growth in public revenue and expenditures, and performance of the state’s economy. Some of these mistaken beliefs are the result of an innocent misreading of the data,...

Tax Triggers: An Unnecessary Fiscal Autopilot

by | May 1, 2018

At least officially, Minnesota’s general fund is projected to have a budget surplus in the current and upcoming bienniums. Conservatives have proposed a “tax trigger” that would automatically reduce state individual and corporate income taxes whenever such a surplus...

Budget Deficits on the Horizon

by | Apr 23, 2018

With an official projected state budget surplus of $329 million in the current fiscal year (FY) 2018-19 biennium and $580 million in the upcoming FY 2020-21 biennium, some state lawmakers are giddy about the prospects of more tax cuts during the 2018 legislative...

Minnesota Per Capita GDP Growth Surpasses U.S. Average

by | Apr 18, 2018

High per capita gross domestic product (GDP) states—such as Minnesota—tend to have lower rates of GDP growth over time, for reasons discussed in part 1 of this series. However, Minnesota has successfully bucked this trend during the current business cycle, with per...

The Federal Tax Act’s Minnesota Impact: Steeply Regressive

by | Mar 30, 2018

Corporate elites and wealthy Americans celebrated when Congressional conservatives and President Trump rolled out the so-called “Tax Cuts and Jobs Act” (TCJA) late last year—and with good reason. The TCJA was overwhelmingly regressive, sending a disproportionate share...