Today the Census Bureau announced that Iowa will lose one Congressional seat as part of the decennial reapportionment process. An updated study by Americans for Tax Reform compared states gaining and losing seats, finding that gainers had significantly lower taxes, less government spending, and were more likely to have “Right to Work” laws in place. Because reapportionment is based on population migration, this is further proof that fiscally conservative public policy spurs economic growth, creates jobs, and attracts population growth.
Iowa’s top personal income tax rate is 8.98 percent, while the average among reapportionment gainers is only 2.8 percent. Half of the states gaining seats do not levy a personal income tax at all. Government spends $5,372 per Iowan, 34 percent higher than the average among gainers. Perhaps stemming further population loss, Iowa is a Right to Work state, where an employee is not required to join and contribute financially to a union as a condition of employment. All but one of the states gaining Congressional representation do not employ forced unionization.
Iowawill now have 4 Congressional seats, continuing a gradual decline from a high mark of 11 in 1920. ATR’s study on Iowa follows:
|
|
Average Top Personal Income Tax Rate |
Per Capita State and Local Tax Burden |
Per Capita Government Spending |
Right to Work States |
|
Average Reapportionment Gainers |
2.8 percent |
$3,519 |
$4,008 |
7 of 8 |
|
Iowa
|
8.98 percent |
$3,589 |
$5,372 |
YES |
|
Difference |
221 percent |
$70 |
$1,364 |
|