Tables
1.1. U.S. income growth rates, comparison of time periods 8
1.2. SigniAcant decline in U.S. economic growth 8
1.3. U.S. economic growth rates in last half of the twentieth
century 9
1.4. State rankings for real income per capita growth,
1969 99 13
1.5. State rankings for real income per worker growth,
1969 99 17
1.6. State rankings based on real income per capita
(in 2000 $) 18
1.7. State rankings based on real income per worker
(in 2000 $) 20
2.1. Barro-type test for state income convergence, 1969 99 28
3.1. Core variables used to explain state income, 1969 99 34
3.2. Economic volatility measures by state, 1969 99 35
3.3. Correlation matrix for state volatility measures 36
3.4. Relationship between level and volatility of income,
1969 99 45
3.a1. Summary statistics and data sources 48
3.a2. Relationship between level and volatility of income,
1969 99 49
4.1. Major sources of state tax revenues: 1998 and changes
since 1969 53
4.2. State personal income taxes: marginal and average tax
rates, 1969 98 59
4.3. State sales taxes: marginal and average tax rates,
1969 98 60
4.4. Total state taxes: marginal and average tax rates,
1969 98 61
5.1. Impact of marginal tax rates on state income, 1969 98 68
5.2. Impact of marginal tax rates on state income growth,
1969 98 69
5.a1. Impact of marginal tax rates on state income, 1969 98 72
6.1. Volatility in revenues from sales taxes and individual
income taxes, 1968 98 76
xiv Tables
6.2. Revenue volatility from tax diversiAcation versus a
single tax instrument, 1968 98 79
8.1. Core variables used to explain state government
expenditures 105
8.2. Effects of Ascal institutions on state government
expenditures per capita 106
8.3. Effects of Ascal institutions on state government
expenditures as a share of income 107
8.4. Effects of Ascal institutions on state government
revenues 113
8.5. Effects of Ascal institutions on state tax revenues 114
8.6. Effects of institutions and tax revenue volatility on state
spending volatility 116
8.a1. Summary statistics and data sources 118
9.1. Political ideology ratings 129
9.2. Major budget components: regression results for core
models with demographic and economics factors 130
9.3. Major budget components: regression results for
expenditure volatility and Ascal institutions 131
9.4. Relative importance of ideology versus expenditure
volatility: elasticity estimates 132
9.5. Relative importance of ideology versus expenditure
volatility: impact on per capita spending of a 1 percent
increase 132
9.6. Major budget components: regression results for
Citizen and Government Political Ideology indices 134
9.a1. Summary statistics and data sources 137