LETTERS

Actually, Arizona can't afford to drop the income tax

Dave Wells
Taxes

The Center for the Study of Economic Liberty at Arizona State University runs off the Koch brothers' dime. Eliminating the state income tax as advocated by research fellow Stephen Silvinski's study and column Thursday would have us begging for dimes.

Silvinski argues that states without income taxes do better than states with income taxes.

He omits that most states without an income tax gain significant revenue from natural resources, such as oil in Texas and Alaska, or have a huge tourism industry like Nevada. Look closer at Texas and you'll find property taxes are higher than Arizona's. California, by contrast, raised its income taxes and has experienced job growth rates far superior to Arizona.

Tax cuts have undermined educational investments limiting economic growth. Arizona has cut personal income tax rates by over one-third in the last two decades, yet Arizona's per capita income has dropped relative to the nation.

This year, Arizona is the only state in the West cutting government investments in education. As a percent of state personal income, educational investment is half what it was in 1981.

To this demonstrably failed policy, Silvinski wants to eliminate almost 40 percent of the revenue for the state budget, arguing we can do it gradually. Wrong premise, wrong data, wrong result.

Dave Wells, Mesa

The writer is research director of the Grand Canyon Institute.