The Institute on Taxation and Economic Policy looked at growth rates in states with and without an income tax. The conclusion: per capita growth in the nine "high tax states" between 2001 and 2010 was higher than in the nine "no tax states" and than in the 50 state sample.
The numbers: average increase in per capita economic output, 2001 - 2010
50 states 8.1%
9 "no tax" states 8.7%
9 "high tax" states 10.1%
Change in median household income, 2001 - 2010
"no tax" states -3.5%
"high tax" states +0.7%
For more, see http://www.itepnet.org/pdf/junkeconomics.pdf
The numbers: average increase in per capita economic output, 2001 - 2010
50 states 8.1%
9 "no tax" states 8.7%
9 "high tax" states 10.1%
Change in median household income, 2001 - 2010
"no tax" states -3.5%
"high tax" states +0.7%
For more, see http://www.itepnet.org/pdf/junkeconomics.pdf
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