The authors say many states have structural deficits because they have failed to modernize their revenue systems; they suggest steps that states can take to shore up their tax systems. Those steps include taxing services and requiring combined reporting, the authors says

The authors compare a proposed expenditure limit initiative in Ohio with Colorado's limit. Both are too restrictive, they say. Tax and expenditure limits make it difficult for policymakers to make necessary decisions, the authors say. Other states' limits are less restrictive

The authors look at federal tax and spending policies that they say have increased the severity of the states' fiscal crisis. They suggest that the federal government should not preempt state tax bases and should be more concerned about helping the states than about providing tax breaks for...

The authors review the options for states facing budget troubles and suggest that increasing taes on upper-income taxpayers would be less harmful to state economies than cutting budgets. Reducing spending on programs that assist low-income people tends to reduce consumption by the full amount of...