A July report by Georgia State University put the term “structural deficit” on the tongues of legislators and state candidates. Slowly, voters across the state are hearing it, too.
“A structural budget deficit exists if, even in normal economic times, tax and fee revenues are not sufficient to support existing public-service levels, and thus the gap between revenues and expenditures will not ‘naturally’ close as revenue growth outpaces the growth in expenditure demand,” wrote authors Carolyn Bourdeaux and David Sjoquist. “Such a deficit requires long-term policy changes to the revenue structure, as well as changes to the amount, type, or efficiency of public services provided, in order to close the gap.”
I have never understood why Georgia’s legislators have decided to exempt every preferred group of voters from taxes. Blue hairs get exempt for one thing, parents for another, farmers for another. The state is using the tax code to play special interest politics instead of generate revenue for the state.
Now it’s biting them on the ass.
We should not be using the tax code to punish or praise any particular group. It should be used to raise revenue to fund the state — period.