An enormous income tax hike proposed by some New York lawmakers with backing from a coalition of public-sector labor unions would cost the state at least 22,000 private-sector jobs, according to a new analysis issued by the Manhattan Institute’s Empire Center for New York State Policy.
The likely economic impact of the so-called “fair share” tax bill–which would raise the marginal rate on high-income households by 20 to 50 percent–was estimated using a New York State version of the State Tax Analysis Modeling Program (STAMP) model developed for the Empire Center by the Beacon Hill Institute at Suffolk University in Boston, Massachusetts. The model’s findings were presented by Jonathan Haughton, Beacon Hill Institute’s economic reesearch director, at Monday’s Economic and Revenue Forecasting conference in the state Capitol in Albany.
Empire Center’s news release summarizing Haughton’s testimony can be found here. A “pdf” version of Haughton’s presentation to the panel can be downloaded here.