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I shall post videos, graphs, news stories, and other material there. We shall use some of this material in class, and you may review the rest at your convenience. You will all receive invitations to post to the blog. (Please let me know if you do not get such an invitation.) I encourage you to use the blog in these ways:
To post questions or comments about the readings before we discuss them in class;
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Monday, April 15, 2024

Economic Policy

 Wednesday readings will be on Sakai later today.

A few questions

  • Suppose your income places you in the 22% bracket.  How much of your income do you think is taxed at a rate of 22%?
  • Agree or disagree: large tax refunds are a good thing.
  • What tax rate applies to the top US federal income tax bracket?
  • How much do you think the top 1% of taxpayers by income account for in terms of share of total federal income taxes paid?

Constitutional Provisions


All Bills for raising Revenue shall originate in the House of Representatives; but the Senate may propose or concur with amendments as on other Bills.”
— U.S. Constitution, Article I, section 7, clause 1


To raise and support Armies, but no Appropriation of Money to that Use shall be for a longer Term than two Years;
-- U.S. Constitution, Article I, section 8, clause 12

“No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law; and a regular Statement and Account of the Receipts and Expenditures of all public Money shall be published from time to time.”
— U.S. Constitution, Article I, section 9, clause 7


What follows would baffle a Martian.

Authorization (Davidson 398)
  • Reauthorization as a form of oversight
  • Lapsed authorizations:

Appropriation
  • Also a form of oversight 


"The Budget Process" and key documents:

Revenue Bills and RECONCILIATION (Davidson 408-409)

Revenues -- Where the money comes from:




Average Federal Tax Rates, by Income Group, 1979 to 2019

 

Average Federal Tax Rates, by Tax Source, 2019

Percent




Tax expenditures

Outlays -- Where the money goes:

Percentage of GDP












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