The recession's impact on the state budgets of New York and New Jersey
In the wake of the most recent U.S. recession, both New York State and New Jersey have faced multibillion-dollar budget gaps. An analysis of the makeup of their budgets reveals that the states' heavy reliance on personal income taxes--particularly from high-wage earners in the finance sector--has exacerbated revenue shortfalls. To close their budget gaps, New York and New Jersey have had to make difficult choices about tax increases and service cuts. In the future, the states might take steps to avert such budget quandaries by establishing "rainy day" funds or restructuring taxes to make them less sensitive to the business cycle. Subseries: Second District Highlights
Volume (Year): 16 (2010)
Issue (Month): Jun/Jul ()
|Contact details of provider:|| Postal: |
Web page: http://www.newyorkfed.org/Email:
More information through EDIRC
|Order Information:|| Email: |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jesse Edgerton & Andrew F. Haughwout & Rae Rosen, 2004. "Revenue implications of New York City's tax system," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 10(Apr).
- Jaison R. Abel & Richard Deitz, 2010. "Bypassing the bust: the stability of upstate New York's housing markets during the recession," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 16(Mar).
- Stavros Peristiani, 2007. "Evaluating the relative strength of the U.S. capital markets," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 13(Jul).
- Jason Bram & James Orr & Robert Rich & Rae Rosen & Joseph Song, 2009. "Is the worst over? Economic indexes and the course of the recession in New York and New Jersey," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 15(Sep).
- Donald Bruce & William F. Fox & M.H. Tuttle, 2006. "Tax Base Elasticities: A Multi-State Analysis of Long-Run and Short-Run Dynamics," Southern Economic Journal, Southern Economic Association, vol. 73(2), pages 315–341, October.
- James Orr & Giorgio Topa, 2006. "Challenges facing the New York metropolitan area economy," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 12(Jan).
- Sobel, R.S. & Holcombe, R.G., 1992. "Cyclical Variability in State Government Revenues," Working Papers 1992_06_7, Department of Economics, Florida State University.
- Andrew F. Haughwout, 2001. "Fiscal policy in New York and New Jersey: 1977-97," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 7(Jul).
- Jason Bram & Michael Anderson, 2001. "Declining manufacturing employment in the New York-New Jersey region: 1969-99," Current Issues in Economics and Finance, Federal Reserve Bank of New York, vol. 7(Jan).
- Jeremy Gerst & Daniel Wilson, 2010. "Fiscal crises of the states: causes and consequences," FRBSF Economic Letter, Federal Reserve Bank of San Francisco, issue jun28.
When requesting a correction, please mention this item's handle: RePEc:fip:fednci:y:2010:i:jun/jul:n:v.16no.6. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Amy Farber)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.