California Tax Experiment: Policy Makers Receive Valuable Economics Lesson

Share on Facebook
Share on Twitter
Share on
LinkedIn
+

Host Joe Selvaggi talks with Stanford University Economics Professor Joshua Rauh about his research on the reaction of Californians to a tax increase, from his report, “The Behavioral Response to State Income Taxation of High Earners, Evidence from California.” Prof. Rauh shares how his research offers tax policy makers insight into the likely effects of similar increases in their own states, including here in Massachusetts.

Related: New Study Finds Tax Policy Drives Connecticut’s Ongoing Fiscal & Economic Crisis

Guest:

Joshua Rauh, originally from Newton, MA., is a Professor of Finance at the Stanford Graduate School of Business, a Senior Fellow at the Hoover Institution, and a Research Associate at the National Bureau of Economic Research (NBER). Professor Rauh’s research on state and local pension systems in the United States has received national media coverage in outlets such as the Wall Street Journal, the New York Times, the Financial Times, and The Economist. He is an Associate Editor of the Journal of Finance and an editor of the Journal of Pension Economics and Finance and the Review of Corporate Finance Studies. He holds a BA degree in economics, magna cum laude with distinction, from Yale University and a PhD in economics from the Massachusetts Institute of Technology.

Get new episodes of Hubwonk in your inbox!

Related Posts:

New Report Shows Massachusetts Has Been in Economic Slow Down Since 2020

A new report from Pioneer Institute shows that Massachusetts has been in an economic slowdown since 2020, with the professional, scientific, and technical services sector (PSTS) exhibiting the greatest slowdown relative to competitor states since 2022. This sector includes scientific research and development, computer systems design, engineering, and scientific consulting firms. 

Connecticut’s H.B. 5002: A Stark Contrast With Massachusetts’ Approach to Housing Reform

This edition of The House Call discusses a pending bill in Connecticut that both requires municipalities to plan for more affordable housing and preempts local zoning rules on small multi-family buildings and parking requirements. The newsletter also explores the possible effects of banning landlords from imposing "broker's fees" on residential tenants.

New Study Cautions: Rent Control Offers Short-Term Relief, But Steep Long-Term Costs

A new Pioneer Institute study finds that while rent control can lower rental housing costs and help vulnerable tenants remain in their homes, it also carries steep long-term consequences—including reduced housing quality, lower property values, fewer new housing units, and higher rents for non-controlled apartments. 

New Report Warns: Massachusetts Facing Alarming Decline in Private Sector Employment Growth

While nearly every state has expanded private sector employment since the onset of the COVID-19 pandemic, Massachusetts is an outlier in experiencing a net decline in private sector job growth, posing significant risks to the state’s economic health and long-term prosperity, according to a new policy brief published by Pioneer Institute. 

Massachusetts Releases New Permanent Regulations for MBTA Communities Act

The April edition of The House Call provides an update regarding the MBTA Communities Act's implementation, with some communities amending their zoning via either referendum votes or Town Meeting this spring. The newsletter also includes a discussion of communities that have eliminated minimum parking requirements in recent years.

Historical Domestic Migration Patterns: Putting Massachusetts in Context

This week's edition of Mapping Mass Migration features an analysis of newly released data from the Census Bureau, its March supplement of the Current Population Survey. Our analysis covers how migration trends have played out nationally since 1948, including the demographics of movers, the extent of their migration (within a county, across counties, to another state, etc.), and the most common reasons movers cite for changing their primary residence. The newsletter concludes with a brief discussion of what might account for a decline in overall migration rates nationally and where Massachusetts fits in.

The House Call – Cambridge Adopts a Zoning Ordinance Allowing 4 to 6-Story Residential Buildings Citywide

The March edition of The House Call covers recent zoning changes in Cambridge that allow 4 to 6-story buildings on every residential lot. It also summarizes reform recommendations from a state commission tasked with advising the Healey administration on how to ramp up housing production.

Study: Inclusionary Zoning Helps Some, but Can Jeopardize Broad-Based Affordability

Policies often force developers to raise market-rate prices to compensate for losses on affordable units

Pioneer Institute Study Says MA Housing Permitting Process Needs Systemic Reform

Highlights Bureaucratic licensing process and appeals as areas to fix

Mapping Mass Migration – New 2024 Census Estimates Show Surge in Population Growth, With Considerable Caveats

This week's edition of Mapping Mass Migration will cover 2024 state population estimates and components of change from the Census Bureau, how trends are impacting Massachusetts, and an analysis of how a methodological change significantly impacted their estimates for net international migration from 2022 to 2024 and what that means for the number and demographic backgrounds of immigrants captured in the data.

Study Finds Bump in State Population Due to Changes in Census Bureau Methodology

BOSTON – State leaders cheered in January when the U.S. Census Bureau estimated that Massachusetts’ population grew by 69,000 in 2024, more than at any other time in 60 years. Unfortunately, a closer look reveals that the higher estimates are largely driven by a change in Census Bureau methodology designed to better capture the influx of humanitarian migrants.  

The House Call – Accessory Dwelling Units are Officially Legal Statewide in Massachusetts

This issue of The House Call covers Massachusetts' recent legalization of accessory dwelling units, as well as a bill filed in the state legislature last month that would broadly prevent localities from enforcing certain housing-related regulations. 

Pioneer Institute Study Compares MA Workforce Development System to Those in Peer States

(Boston, Mass) - As Massachusetts has significantly increased investment in a myriad of workforce training programs to better compete for talent, a new Pioneer Institute report examines the Massachusetts workforce development system to determine what operational changes would better maximize results, and it compares the system to those in peer states. 

Mapping Mass Migration: New England State and County Population Change, 2020 to 2023

This week's edition of Mapping Mass Migration will cover state and county population change in Massachusetts and New England from 2020 to 2023, how population has shifted for major demographics during that period, and how population change in general fits into the broader picture of a state's economic wellbeing. 

McAnneny’s January Musings – Legislative Transparency Takes Center Stage in the New Year

A new year unfolds with so much promise.  It offers us all a fresh start, a clean slate, a reset.  It is a time for reviewing, reassessing and revising. 

The House Call – January

This issue of The House Call covers the implementation of Boston's energy efficiency standards for large buildings. It also provides an update on the MBTA Communities Act after a busy fall Town Meeting season featuring rezoning votes, forced referenda, and - more recently - the SJC's Milton case decision.