Recently one of our resident liberals posted a thread that purported to offer proof that conservative economic policies, especially "austerity," have failed, and he cited a recent liberal news story about Kansas as his "proof." The article noted a recent shortfall in the Kansas state budget, i.e., a shortfall in projected tax revenue. But lots of states experience shortfalls in tax revenue, projected or real, from time to time, and such shortfalls can have a wide variety of causes.
So let's look at some major economic statistics for the state of Kansas to get a more accurate picture of the condition of the Kansas budget and economy (as usual, links will be provided at the end):
* Kansas's unemployment rate is 4.2%, about 30% lower than the national rate (5.5%).
* In 2014, Kansas saw a huge jump in manufacturing exports, to the tune of a $400-million-plus increase over the previous year. In fact, 2014 saw the state's exports top $12 billion, a record only matched in two other years in the state's history.
* Last year Kansas exporters outpaced their competition in the neighboring four states (Colorado, Missouri, Nebraska and Oklahoma). Their average export value was $9.74 billion, $2.26 billion less than that of Kansas.
* Kansas has the sixth lowest cost of living in the country. The cost of living in Kansas is nearly 8.74% below the national average.
* Housing costs in Kansas are especially low, with the median value of owner-occupied homes nearly 216.7% below the national average.
* Kansas ranks 22nd in the country Kansas in the Tax Foundation's State Business Tax Climate Index. In 2011, Kansas ranked 25th, so the state's tax climate has improved substantially since 2011. The index compares the states in five areas of taxation that impact business: corporate taxes, individual income taxes, sales taxes, unemployment insurance taxes, and taxes on property, including residential and commercial property.
* Kansas governor Sam Brownback was awarded an "A" by the fiscally conservative Cato Institute for his tax cuts and spending restraint and for reducing the size of the state bureaucracy. Said Cato,
* The majority of the budget shortfall has nothing--as in nothing--to do with Brownback's tax cuts.
* The Kansas real median household income is slightly higher than the national average.
* Kansas GDP growth has been above or at the national average since Brownback took office, and it has been nearly double that of Obama's home state of Illinois. In September 2014, economist Stephen Moore noted,
Much more could be said about the overall positive direction of the Kansas budget and economy under Republican leadership, but this will have to suffice for now.
So the next time you see some liberal claim that Kansas is somehow "proof" that conservative economic policies don't work, remind him or her of these facts.
Kansas State Unemployment Rate and Total Unemployed Department of Numbers
Kansas Department of Commerce - Official Website
Kansas Department of Commerce - Official Website - Quality of Life
Cost of Living in Kansas - PayScale
Kansas Tax Foundation
Pro-liberty Republican governors are slashing high taxes and rolling back big government -- and that s good for taxpayers United Liberty Free Market - Individual Liberty - Limited Government
http://object.cato.org/sites/cato.org/files/pubs/pdf/fprc-on-americas-governors_1.pdf
Sam Brownback United Liberty Free Market - Individual Liberty - Limited Government
Sam Brownback Americans for Tax Reform
Here s How Kansas Is Flourishing Under Republican Governor Sam Brownback
Kansas State Household Income Department of Numbers
So let's look at some major economic statistics for the state of Kansas to get a more accurate picture of the condition of the Kansas budget and economy (as usual, links will be provided at the end):
* Kansas's unemployment rate is 4.2%, about 30% lower than the national rate (5.5%).
* In 2014, Kansas saw a huge jump in manufacturing exports, to the tune of a $400-million-plus increase over the previous year. In fact, 2014 saw the state's exports top $12 billion, a record only matched in two other years in the state's history.
* Last year Kansas exporters outpaced their competition in the neighboring four states (Colorado, Missouri, Nebraska and Oklahoma). Their average export value was $9.74 billion, $2.26 billion less than that of Kansas.
* Kansas has the sixth lowest cost of living in the country. The cost of living in Kansas is nearly 8.74% below the national average.
* Housing costs in Kansas are especially low, with the median value of owner-occupied homes nearly 216.7% below the national average.
* Kansas ranks 22nd in the country Kansas in the Tax Foundation's State Business Tax Climate Index. In 2011, Kansas ranked 25th, so the state's tax climate has improved substantially since 2011. The index compares the states in five areas of taxation that impact business: corporate taxes, individual income taxes, sales taxes, unemployment insurance taxes, and taxes on property, including residential and commercial property.
* Kansas governor Sam Brownback was awarded an "A" by the fiscally conservative Cato Institute for his tax cuts and spending restraint and for reducing the size of the state bureaucracy. Said Cato,
Sam Brownback of Kansas has spearheaded major tax reforms. In 2012 he signed into law a package that reduced the number of individual income tax brackets from three to two and cut the top tax rate from 6.45 to 4.9 percent. The reform also increased the standard deduction, reduced taxes on small businesses, and repealed numerous narrow tax breaks. Brownback approved additional changes in 2013, including further income tax rate cuts, broadening the income tax base, and increasing the sales tax rate. The governor has also been a frugal budgeter since 2012, overseeing just small increases in general fund spending.
* Americans for Tax Reform has called Brownback's 2015 budget sound and frugal. You have to keep in mind that any Republican governor who imposes even modest fiscal restraint will be accused of taking food from babies, starving grandmas, gutting "education," etc., etc. So the Americans for Tax Reform analysis is a good reality check on Brownback's budget.
* The majority of the budget shortfall has nothing--as in nothing--to do with Brownback's tax cuts.
* The Kansas real median household income is slightly higher than the national average.
* Kansas GDP growth has been above or at the national average since Brownback took office, and it has been nearly double that of Obama's home state of Illinois. In September 2014, economist Stephen Moore noted,
On economic growth, the Bureau of Economic Analysis reports that Kansas’ real GDP increase was up 1.9 % last year – slighter higher than the national average of 1.8%. Illinois crept up 0.9%.
Much more could be said about the overall positive direction of the Kansas budget and economy under Republican leadership, but this will have to suffice for now.
So the next time you see some liberal claim that Kansas is somehow "proof" that conservative economic policies don't work, remind him or her of these facts.
Kansas State Unemployment Rate and Total Unemployed Department of Numbers
Kansas Department of Commerce - Official Website
Kansas Department of Commerce - Official Website - Quality of Life
Cost of Living in Kansas - PayScale
Kansas Tax Foundation
Pro-liberty Republican governors are slashing high taxes and rolling back big government -- and that s good for taxpayers United Liberty Free Market - Individual Liberty - Limited Government
http://object.cato.org/sites/cato.org/files/pubs/pdf/fprc-on-americas-governors_1.pdf
Sam Brownback United Liberty Free Market - Individual Liberty - Limited Government
Sam Brownback Americans for Tax Reform
Here s How Kansas Is Flourishing Under Republican Governor Sam Brownback
Kansas State Household Income Department of Numbers
