IDEAS home Printed from https://ideas.repec.org/p/fip/fedbcr/11-1.html
   My bibliography  Save this paper

How does New Hampshire do it?: an analysis of spending and revenues in the absence of a broad-based income or sales tax

Author

Listed:
  • Jennifer Weiner

Abstract

This report seeks to understand how New Hampshire has avoided a broad-based income or sales tax by examining the factors that drive the state’s lower-than-average per capita spending and the revenue sources the state relies on to pay for that spending in lieu of an income or sales tax. It presents comparative data for the six New England states and discusses some of the impediments faced by other states in the region interested in emulating New Hampshire's fiscal model. ; The author finds that New Hampshire's below-average spending is due to a combination of policy choices and favorable circumstances that the state faces, such as a relatively low poverty rate. States with needier populations or higher input costs may need to spend more than New Hampshire does to provide a given level of services. On the revenue side, New Hampshire state and local governments collectively rely more heavily on property taxes than other New England state. However, the state government's revenue system is more diverse than those of its regional counterparts and possesses several unique features, such as the business enterprise tax. ; This report does not advocate for a particular fiscal model. However, by illuminating how and why New Hampshire differs from its neighbors, it aims to inform policymakers’ discussion in states across the region and nation as they grapple with how to provide services in fiscally challenging times.

Suggested Citation

  • Jennifer Weiner, 2011. "How does New Hampshire do it?: an analysis of spending and revenues in the absence of a broad-based income or sales tax," New England Public Policy Center Research Report 11-1, Federal Reserve Bank of Boston.
  • Handle: RePEc:fip:fedbcr:11-1
    as

    Download full text from publisher

    File URL: http://www.bostonfed.org/economic/neppc/researchreports/2011/rr1101.htm
    Download Restriction: no

    File URL: http://www.bostonfed.org/economic/neppc/researchreports/2011/neppcrr1101.pdf
    Download Restriction: no

    More about this item

    Keywords

    Fiscal policy - New Hampshire ; Taxation - New Hampshire ; Economic conditions - New Hampshire;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:fedbcr:11-1. 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: (Catherine Spozio). General contact details of provider: http://edirc.repec.org/data/frbbous.html .

    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.

    We have no references for this item. You can help adding them by using 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.