• Research Report

    Lower Taxes, Higher Growth: Scholarly Research Reveals Economic Benefits of Fiscal Restraint

    posted April 14, 2014 by John Hood
    Most studies find that lower levels of taxes and spending, less-intrusive regulation, and lower energy prices correlate with stronger economic performance. The implications of this research track well with recent public policies adopted in North Carolina. Judging from the available empirical evidence, North Carolina’s new policy mix is likely to result in stronger economic growth in the coming years.
  • Research Report

    Three Truths of Tax Reform: Senate, House plans would spur growth, create jobs

    posted June 19, 2013 by John Hood
    The House and Senate tax bills now under discussion in the General Assembly would constitute fundamental tax reform, but will not prevent state government from funding core public services such as public schools and universities. They will, however, increase job creation and economic growth.
  • Research Report

    Budgetary Rent Control: Why taxpayers should care about lobbying reform

    posted May 8, 2005 by John Hood
    A broad coalition of lawmakers and policy groups favors fundamental changes in NC lobbying laws to require more disclosure, create "cooling off periods" before former officeholders can lobby, and restrict the value of personal gifts to public officials. Still, reformers are overlooking an important issue: the role that special-interest lobbying plays in distorting fiscal policy and stunting economic growth.
  • Research Report

    Don’t Bet On It: A State Lottery Would Not Be an Alternative to Taxes

    posted March 9, 2005 by John Hood
    Supporters of a proposed government lottery argue that it would be a welcome alternative to raising state taxes to fund education. But there is no evidence to suggest that politicians in lottery states use the proceeds to reduce other taxes. They just allow state budgets to grow. Also, properly understood, a state-run lottery does increase taxes — it creates a government gambling monopoly and then levies a steep tax on it.
  • Research Report

    Equity in School Finance: Contrary to Myth, District Funding Varies Little

    posted December 22, 2004 by John Hood
    During the 2005 session, state lawmakers are expected to take up the issue of how to comply with court rulings in the Leandro case. It is important to discard widespread misperceptions. First, Leandro does not require taxpayers to spend more money on public education. Second, public-school funding does not differ significantly across counties when all spending is included. Third, the small gap that remains is shrinking, not growing, and is unlikely to explain differences in student outcomes. Finally, local funds are a reasonable way to compensate for elevated labor costs in counties with high housing prices.
  • Research Report

    Climate Change: A Survey of North Carolina Business Leaders

    posted May 10, 2004 by Chad Adams, John Hood
    A new survey of North Carolina’s most politically active business executives suggests that they do not agree with the current direction of public policy in the state. A sample of about 300 respondents from every region of North Carolina answered questions about fiscal policy, education, transportation, tax rates, regulation, and ways to improve economic competitiveness. This report provides not only data from the statewide sample but also from six regional subgroups: the Research Triangle, the Piedmont Triad, the Charlotte area, Northeastern North Carolina, Southeastern North Carolina, and Western North Carolina.
  • Research Report

    From Entitlement to Investment: Rethinking U.S. Disability Policy for the 21st Century

    posted March 8, 2004 by John Hood
    More than a decade after the passage of the Americans with Disabilities Act (ADA) in 1990, disability policy in the United States remains fraught with uncertainty, dashed hopes, and contradictions. While most persons living with disabilities today have an unprecedented quality of life — largely the product of medical and technological advancements that would have seemed more the realm of science fiction than science fact a generation or two ago — they are also experiencing some surprisingly negative trends.
  • Research Report

    The Freedom Budget: Nine Rs for North Carolina Fiscal Responsibility

    posted March 31, 2003 by Dr. Roy Cordato, Don Carrington, John Hood
    North Carolina faces significant fiscal and economic challenges over the next two years. But it need not resort to higher taxes, a state-run lottery, higher debt, or gimmickry to balance its budget. Nor does North Carolina need to skimp on crucial needs such as education and highways. By setting firm priorities within state government, eliminating unnecessary or duplicative programs, and charging users of some services a reasonable price, state leaders can generate sufficient savings to invest in the future needs of the state.