Econ 101 - Again
The University of Chicago is home to a boatload of Nobel Prize winners in the field of Economics, yet no one at City Hall seems to have the merest inkling of how this stuff works in reality:
- Illinois’ dollar-per-pack cigarette tax hike took effect a year ago this month. But the the Commission on Government Forecasting and Accountability says it's expected to fall $130 million short of initial revenue estimates.
The increase, which hiked the state’s 98-cents-per-pack tax to $1.98 last June, is expected to bring in about $212 million in additional revenue for the current fiscal year, which ends June 30.
That’s well short of the $350 million in additional revenue originally projected.
That means it won’t raise quite as much as money for school capital projects. Money from the tax hike also goes to the Healthcare Provider Relief Fund to help cover the costs of Medicaid.
The report says a decline in sales typically follows a significant tax increase. But the report also says another reason for the failure to meet projections is that consumers stocked up prior to the tax increase in 2012.
Yeah, because cigarettes don't go stale or anything - the reporters must be morons, too. Not a word about how over the border sales are booming in Indiana, Wisconsin and other states. Just a sense of wonder that Illinois is another $130 million short that will have to be made up elsewhere.
Labels: dumb ideas
posted by SCC at 12:05 AM
40 Comments:
Illinois isn't "short;" "the increase...is expected to bring in about $212 million in additional revenue for the current fiscal year...."
It IS short of its expectations, but it is $212 million ahead.
This was a projection of 'additional' revenue. It isn't something that's taken a bite out of existing revenue. In other words, the idiots were HOPING for this much extra money as a windfall.
But we have money to build a new b-ball arena for DePaul.
Fucking idiots !
Illinois isn't "short;" "the increase...is expected to bring in about $212 million in additional revenue for the current fiscal year...."
It IS short of its expectations, but it is $212 million ahead.
-=-=-=-=-=
This was a projection of 'additional' revenue. It isn't something that's taken a bite out of existing revenue. In other words, the idiots were HOPING for this much extra money as a windfall.
-=-=-=--=
If you think Illinois didn't spend that "projected" $130 million, then you're as big as an idiot as these politicians
Keep raising taxes and people will keep shopping elsewhere. Didn't think of that one did ya mr mayor? Mr mayor? Hello?
Illinois politicians aren't all stupid, but if you talked to Walter Brunette or Emma Mitts you would argue that point I am sure.
Many Illinois politicians are as corrupt as we think. Many are plain simple, not experienced in the ways of the world. None should be re-elected. This State is a mess.
Why are they always looking for more money?
Reporters these days don't seem to know anything about anything. They don't know what questions to ask. They don't appear to have any curiosity about anything. They barely touch upon who, what ,when, where, why and how. We are living in the information age and they younger generations are becoming more and more dense. They are always plugged in but don't seem to process the info. Perhaps being bombarded constantly by external stimuli turns their brains off.
They don't have to go far Check the Costco in Orland Park and watch the Middle Eastern type ghetto store owners buying 30-40 CASES of cigarette's at a time that's right cases 30 cartons in a case 10 packs per carton do the math, they sell them in the ghetto stores w/o the Chicago tax stamp go check it out Chicago Dept of Revenue or any other investigative reporter, THey then dell them from behind the counter large profit for them huge loss of tax revenue. I have seen it numerous times
Cigarettes are bad for you.
Ahg Yes! The University of Chicago. Home of Barack, Axwlrod, Jarrett, Michele, Rev. Wright, Goolsby....They are the ones behind the fall of Rome.
Laffer curve at work.
Yeah, we have all these Nobel winners for economics. But most of them work on theory not reality. In case you haven't noticed, Barry hired one of those hot shot professors Alan Krueger and after a couple of years in the hot seat, and trillions in new dept(he's the one who brought you the 780 billion dollar stimulus package), he ran back to his little university so fast it wasn't funny. Now they're bringing him back. Academics and politicians. Neither have skin in the game, both full of dung. Oh, and don't forget about printing money just to buy dept we issue. Now there is a concept. There is an old saying, "those who can do, those who can't, teach".
http://my.chicagotribune.com/#section/-1/article/p2p-76357801/
Chicago Teacher Union blames white people for bad schools in the city
Stop smoking.
Of course they spent the money based off the projections! City, county, and state budget offices are staffed with new age commie fools that write checks that the working stiff's bodies have to cash. Never trust them or their projections, ever!
Illinois isn't "short;" "the increase...is expected to bring in about $212 million in additional revenue for the current fiscal year...."
It IS short of its expectations, but it is $212 million ahead.
-=-=-=-=-=
This was a projection of 'additional' revenue. It isn't something that's taken a bite out of existing revenue. In other words, the idiots were HOPING for this much extra money as a windfall.
-=-=-=--=
If you think Illinois didn't spend that "projected" $130 million, then you're as big as an idiot as these politicians
6/21/2013 04:28:00 AM
Now, when exactly did I say I didn't believe they'd already spent it (in their minds)? I clarified something, as did a couple of other posters, but now I'm as big an idiot as the politicians? Thanks.
Here's an example closer to home of how projected revenues can "brighten" the financial picture. Back on Wednesday, October 10, 2012, Mayor Rahm Emanuel presented his proposed 2013 budget to the Chicago City Council. From the accompanying City of Chicago press release:
"Mayor Rahm Emanuel today presented the proposed 2013 budget to the City Council, an $8.3 billion budget that balances the City’s finances without introducing new taxes, fines or fees, and completely eliminates the employee head tax by the end of 2013, earlier than promised...
The City began the 2013 budget process with a projected deficit of $369 million deficit, half of what had originally been projected, but still a substantial gap. This deficit was cut to $298 million in September when the City identified $71 million in additional savings and revenue for the remainder of 2012 and 2013, including $26 million in cost additional savings and $45 million in additional revenue. The $298 million gap is the smallest since the 2008 recession...
The City closed the remaining 2013 gap through $67 million of spending reforms and cuts, including $10 million in savings from strategic sourcing on city contracts and $5.8 million in information technology reforms; $45 million in personnel savings including $20 million in layoffs, attrition and vacancy sweeps, and $5 million from partnerships with labor; $70 million in healthcare savings; $10 million from TIF reform; $24 million in improved debt collection; $42 million in additional revenue growth; and $40 million from refinancing long-term debt."
"$45 million in additional revenue"- Projected tax revenue on real property transfer, hotel, sales, and electricity taxes until the end of September 2013
"$42 million in additional revenue growth"- Projected tax revenue from other revenue enhancements like more taxi medallion sales and securing corporate sponsors for city programs
Will be interesting to see if "projected"= "realized."
The city is sitting on tons of property which includes vacant factories. Tell GE or some other large corporation they can have them for free. Tell them no property tax for 10 years. All they have to do is cover the upkeep.
Doing this would not only save the city money by taking the empty factories off the city books but could bring in high tech jobs to chicago.
It was in the news a few days ago that Google bought a vacant cold storage building in the Fulton market.
Rahm and the city aldermen need to have a fire sale and sell off vacant property or even give it away. Doing this could save he city hundreds of millions
Why won't they consider this idea??
is this the same U of Chicago hospital that paid Michelle an astronomical salary after Obama became a senator and when he became president eliminated her position that was so important when she had it, but also doesnt have or want an emergency room to care for the community because it is not cost effective and sends the emergency patients to surrounding hospitals?
Why not ask Barry Obama, he's got one of them there Nobel Prizes!
Why I bet'cha he could tell you everything about anything.
If the state is $130 million short don't worry, nobody else outside of Illinois will know about it. Thanks, media folk. You sure must feel proud of all the good work you're doing for society. Kudos to all of you! Example: 8 dudes supposedly rob someone, and the Trib can't muster up one fucking adjective in the way of description in the initial story. Great work folks.....keep it up, award winners, all of you.
The city and the county have been looking at their own income tax for a few years now. Nothing have moved forward, but they have done studies to see if it is feasible. NY has one and it hasn't seemed to hurt their residence. I would not be surprised if it comes here soon.
Toss out every politician in the city,county and state who is a moron which leaves us with some downstate people and a few northern counties other than that NO ONE from Chicago or Cook county!
Some idiot Politician must have been asleep in a finance class!
I try and buy everything outside of the county and even state every chance I get!
Screw you Crook County and Chitroit!
whenever there is a ban or restriction people just go somewhere else.
as al capone pointed out "if they don't get it from me , they will get from someone else
take the firearms tax
everybody leaves cook county to buy same with cigarettes and gas and booze i've met women that shop at aldi's in waukegan because of the tax in chicago people really ain't going to quit these things they will adapt to get them some where else
plus people move out taking there property tax and such with them somewhere else
Politicians do NOT deserve Pensions! Only 401K style!
Take them all away!
Anonymous Anonymous said...
http://my.chicagotribune.com/#section/-1/article/p2p-76357801/
Chicago Teacher Union blames white people for bad schools in the city
6/21/2013 09:15:00 AM
No, she blamed rich, white people. The Pritzker and Field type of people, who think having money entitles them to dictate how everything should be done, to create the Disneyland city they want us to live in. Kind of like how Emanuel wants to be our daddy and dictate what should be in our vending machines, how big our suv's should be, who should provide our billboards, our electricity, our rental bicycles, etc., because only he knows what's best for the peasants.
They did it with the bottled water tax of 10 cents a bottle. Projected from the bottled water sales from the previous year, but the geniuses didnt take into consideration that Chicagoans would go to the suburbs to buy their bottled water. Was a considerable difference between the $2.98 for 24 bottles in the suburbs and the $2.98 plus the $2.40 bottle tax in the city.
Thats not taking into consideration the other tax revenue lost by the city because when your buying bottled water in the suburbs why not fill up on gas, buy groceries, maybe a stop at the departmewnt store and a quick bite to eat. They couldnt figure it out, but hell we elected them
You guys just don't understand: this is an economic stimulus bill--look at all it's doing for the cigarette smuggling industry.
Also, I think it's very neighborly for our legislature to help Indiana and Wisconsin increase their cigarette tax revenue. You're just being selfish when you oppose this.
Anyone banking on anything coming out of the mouths of those U of C scholars needs their head examined. That place can't even adequately manage it's own police dept. How they've managed to keep Lynch as the head of their campus PD with all the internal turmoil he's caused since he arrived is anyone's guess.
Any organization that has had the turnover he's caused would either be belly up by now or would have tossed their leader out on his ass.
Here's the U of C business model in a nutshell:
1) Hire someone who has little real practical experience.
2) Surround him with idiots in the upper echelons of command
3) Ignore the havoc these two or three idiots have caused to the entire organization
4) When the gaffes get too stupid to ignore, announce that you'l bring in an 'independent investigation' to find the answers you seek
5) Repeat as needed
"Short"? Nothing is "short" -- except for the brain power of tax and spend liberals.
If you now have $212 Million dollars you didn't have before that's 'more money', not 'less money'. Granted, that may be under the guesstimate but it's still money you didn't have before.
It's nonsense like this that fries my ass when I hear the Moonbat Pols crying about something like a lower tax rate rate, "costing them money".
The Asshats!.. its not costing you a dime, the Goobermint doesn't have any money except ours you imbeciles, it's not yours, and the fact is its just less money for you to waste... oops I mean 'invest'.
Anonymous said...
http://my.chicagotribune.com/#section/-1/article/p2p-76357801/
Chicago Teacher Union blames white people for bad schools in the city
6/21/2013 09:15:00 AM
She blamed rich white people.
Now, when exactly did I say I didn't believe they'd already spent it (in their minds)? I clarified something, as did a couple of other posters, but now I'm as big an idiot as the politicians? Thanks.
6/21/2013 09:42:00 AM
You're welcome, Sally. Don't get your panties in a bunch. People vent here.
>>>Anonymous said...
They did it with the bottled water tax of 10 cents a bottle. Projected from the bottled water sales from the previous year, but the geniuses didnt take into consideration that Chicagoans would go to the suburbs to buy their bottled water. Was a considerable difference between the $2.98 for 24 bottles in the suburbs and the $2.98 plus the $2.40 bottle tax in the city.
Thats not taking into consideration the other tax revenue lost by the city because when your buying bottled water in the suburbs why not fill up on gas, buy groceries, maybe a stop at the department store and a quick bite to eat. They couldn't figure it out, but hell we elected them
6/21/2013 07:24:00 PM<<<
All along border streets with suburbs are signs that say ,
"NO CHICAGO TAXES".
I hardly buy anything in Chicago. If I just cross the street the taxes on my groceries go from 9.75% to 2.3%. So why support the Daley Crime Family? It's not as if they will spend the money one us.
strangely enough everytime they raise prices and taxes in IL I find a way to SAVE.. like when they raised the tolls.. I use to spend $2 a week to go into Chicago to see my daughter when they raised it to $3.80 (round trip) not only did they lose the original $2 I had been spending but they now get $0 as I go in on non toll highways.. they raised the cigarette tax my son lives in IN and brings the family cigarettes when he visits or we pick them when we go visit him.. we also fill our tanks (we do save money regardless of what MSM keeps trying to tell people they don't) AND we recently started doing our weekly grocery shopping as well.. My entire family is doing it as we have at least ONE child who now resides in IN.. I was amazed at how much I saved.. I would move to IN except the housing market stinks in IL and it's not a good time to sell HOWEVER..renting out our house is an option.. thinking seriously about it..
Rahm and the city aldermen need to have a fire sale and sell off vacant property or even give it away. Doing this could save he city hundreds of millions
Why won't they consider this idea??
Because they will be forced tho hire a bunch of workers who do no work.
I wonder how Toni's Cook County tax on firearms is working out and whether it's raising as much as she projected....
>>>Anonymous said...
I wonder how Toni's Cook County tax on firearms is working out and whether it's raising as much as she projected....
6/24/2013 02:14:00 PM<<<
Well...
Shore Galleries hardly has anything to sell.
Illinois Gun Works on Grand Avenue just west of Harlem that had a pistol range had been demolished and is now an empty lot.
So if you ask her she might say "Just fine'"
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