DAILY FISCAL POLICY REPORT -- Mar. 27, 2008
by Craig Jennings, 3/27/2008
Economy -- Per Capita Income Up in 2007, Flat in Fourth Quarter: The BEA has released state-by-state per capita personal income data and indicates that U.S. personal income grew 6.2 percent in 2007, down from 6.7 percent in 2006. However, fourth quarter income gains were negated by inflation, a marked change from the third quarter's 0.9 percent real increase. Economy -- Home Equity Lenders In Trouble?: The rate of home equity loans delinquent or in default was up in December at 5.7 percent - a 1.2 percentage point jump from December 2006. Many home equity lenders have turned to preventing homeowners from refinancing or selling their homes as a means to recover their loans. Story. Taxes -- Tax Freedom Day April 23, But Sooner for Most Americans: The Tax Foundation has declared April 23 to be "Tax Freedom Day" - "the day on which Americans have earned enough money to pay all their federal, state and local taxes for the year." However, as the Center on Budget and Policy Priorities notes, the date, is based on "serious methodological flaws" which overstate the tax burden for about 80 percent of Americans.