Respectfully submitted by Lawrence E. Rafferty (rafflaw) Weekend Contributor
In these post Recession days, we have seen various stories of state and municipalities economies make positive strides toward recovery. According to economist Paul Krugman, the state of Kansas is not one of those success stories. If you don’t recall, the Republican Governor, Sam Brownback, signed legislation granting huge tax breaks for corporations and the wealthy.
Brownback crowed that these tax cuts would lead Kansas into the promised land of economic nirvana. Unfortunately for regular, non-wealthy Kansans, the recovery has not materialized. As Krugman states, the economy in Kansas tanked.
“Sam Brownback, the governor, proposed the legislation — in percentage terms, the largest tax cut in one year any state has ever enacted — in close consultation with the economist Arthur Laffer. And Mr. Brownback predicted that the cuts would jump-start an economic boom — “Look out, Texas,” he proclaimed.
But Kansas isn’t booming — in fact, its economy is lagging both neighboring states and America as a whole. Meanwhile, the state’s budget has plunged deep into deficit, provoking a Moody’s downgrade of its debt.” New York Times Continue reading “Supply Side Kansas and ALEC”