My question was why? The federal government of course, Minnesotas budget surplus grew to $19 billion, but new law requires accounting for inflation, State economists: Minnesota finances stable with record-breaking surplus intact, With carbon-free law in place, Minnesota Democrats now debating whether to mandate energy storage, An illustrated guide to the signs of Minnesota spring, State funds available to recruit diverse police officers, but not all departments are asking for the money, Addressing (and improving) life expectancies for Black Minnesotans, For years, St. Paul took a hands-off approach to trash collection. Democrats claim that in general, their blue states give more to the federal government than they take back from it, in contrast to red states. Only 1.4% of the workers in both Michigan and Minnesota work for the government, while the share in Wisconsin is 1.2%. His latest book, "Storm Proof Your Money", was published by John Wiley & Co. Visit a quote page and your recently viewed tickers will be displayed here. The list of the seven states that, according to this analysis, made out the worst by this measure, paying much more in federal taxes than they receive in federal benefits, are all blue. He portrays Republicans as Moochers who are either hypocritical or too stupid to know their own best interest. Blue states get considerably more, at $2,124 per resident. 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Bush & Dick Cheney: War Criminals, Republican Kansas Gov. In particular, according to the study, immigrants receive more cash, food . But, other than those exceptions, the rest of the list of biggest beneficiaries is dominated by red states. That is, they receive more federal dollars than they pay in. THE TEN POOREST STATE IN THE UNION ARE REPUBLICANS FLORIDA.GEORGIA.ALABAMA,WEST VIRGIANA, KENTUCKY,TENNESSEE,TEXAS,ARKANSAS,OKLAHOMA AND VERMONT. This category only includes cookies that ensures basic functionalities and security features of the website. BOSTON Hey, isnt it time all these so-called conservatives down in the red states actually started standing on their own two feet? They have the sense to get out of the states that their liberal policies have ruined. From the Gellman-paradox we know that the low-income voters who drag down the Red States average tend to vote disproportionally for Democrats. California gets a total TANF and MOE support of $6.7 billion, followed by New Yorks $5.16 billion. You show us the way, West Virginia (the fourth-most dependent). Pumping federal cash into spendthrift states to rescue them from underwater pensions and backlogged debt service is. While it is certainly true that a handful of red states receive much more in federal spending than their residents pay in federal taxes, this is not at all the situation across most red states.This is especially not the case in states with states with larger metropolitan areas such as Florida and Texas. Here are the top 10 states that spend the most on welfare per capita, according to GoBankingRates.com. Blue states, however, underperformed in other aspects. But opting out of some of these cookies may have an effect on your browsing experience. SNAP is the largest program of all and has been for a long time, according to welfare statistics by year, with an average of 40 million people using it each month in 2020. References: Rockefeller Institute of Government, World Population Review, US Government Spending, Pew Trusts, World Population Review, Medicaid.gov, Saving to Invest, FAS, Moneygeek, Federal Schedules, USA Spending, SmartAsset, MoneyRates, New York Times, Your email address will not be published. life doesnt have to be hard.but you MAKE hard. And Democrats and their comrades in the mainstream media need to stop the hypocritical rhetoric about blue states subsidizing red states. At the top of that list are Connecticut, New Jersey, Massachusetts and New York,. A new report from WalletHub confirms what we already suspected: The states that depend the most on big gubmint are also the states that are are always whining the most about big gubmint.. these statistics on, what makes the numbers? Its also essential not to overlook the amount of federal aid per resident. The 10 states with the highest surplus per taxpayer are ALL Republican Governors with Republican Legislatures. Red state budgets averaged 35.75 percent federal money. . Progressives glibly replied that it is actually blue states that bail out red states. This sophomoric switcheroo gets more than its fair play in the media but rests on several false equivalencies and bad logic. New York. Government aid, Clinton said, should reward work, not idleness. All Rights Reserved. (US Government Spending, Pew Trusts, World Population Review, Medicaid.gov, Saving to Invest, FAS). To try and rectify some of the disparity, Congress passed the Tax Cuts and Jobs Act (TCJA) in 2017. Under OBama I got the 4% cost of living, but then they raised my insurance costs, so I made an extra $10 or so. The future of government spending is coming into focus as the 2020 elections approach. Member donations are crucial to the work of our nonprofit newsroom. So why should we reward it, continuing the miserable status quo? The rest of the list of top per capita tax-paying states is likewise dominated by blue states. A married couple with a moderately high income might pay $100,000 per year in federal income, social security and medicare tax. Paul Krugman is in puzzlement, having observed that Red States get more welfare funding, while Republican voters oppose the welfare state. Most of the transfers do not come from "red state welfare" like agricultural subsidies. Given that Krugman is aware of the Gellman-Paradox, he should have reported the individual level data first instead of wasting everyones time with state-level aggregation that we already know is wrong. This gap between political perception and fiscal reality is also reflected in the distribution of tax dollars at the state level: Most politically "red" states are financially in the red. Copyright Townhall.com/Salem Media. The article noted that of 20 States that receive more funding from the federal government than they pay in, 16 are Red States. There are fewer states that would be labeled Republican based on the 2008 election, and there's a strong likelihood that tax and spending data would have changed as well. New Mexico has 21,300 food stamp users per capita. Or, to put it more precisely, if the government taxed less and spent less, rich people and businesses predominantly in blue states would save a lot of money on their taxes, and poor people and businesses predominantly in red states would lose a lot of federal aid. The North are the educated and wealthy people. Finally, we offer data on the percentage of the workforce employed by the government. As these programs expand and become more generous, the gap between state balance-of-payment ratios will only increase as federal taxes and spending increase to pay for means-tested poverty assistance. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. Does this surprise anyone? A problem with this metric is that although federal funds make up a larger percentage of red states state budgets, the budgets in those states are generally lower overall than those of the free-spending blue states. Democrats suck the life out of Republican states (and democrat states) alike. Moving companies report more people moving from blue states to red states than vice versa. It has given its electoral votes to the Democratic ticket in all of the nine the most recent presidential elections, including six of the last seven by more than 20 percentage points. The federal government of course, Attribution-NonCommercial-NoDerivatives Creative Commons license. Others have repeatedly pointed out that every year the so-called "blue" states pay way more than their share in federal taxes, and the extra money goes to the red states. A. Kyle Sammin at The Federalist found that if you look at the amount of money the federal government gives to states on a per capita basis instead, blue states get more; $2,124 per resident. Those two states ranked first and second in terms of independence from government. The American government is projected to spend approximately $9.32 trillion in 2022 welfare programs. This graphic is extremely misleading. Massachusetts (B), Washington (B), and Minnesota (B) have the highest max unemployment benefits. Duh, let me see who Im going to vote for: well Democrat of coarse. It is true that red states receive 35.75 percent on average of their budgets from the federal government, while blue states receive 30.80 percent. Many policy organizations ALEC included have urged against a federal bailout of states because of the inherent moral hazard. According to the Federal Reserve, individuals with a higher income borrow more money than those with the lowest earnings. Now, the city might start buying garbage trucks, Let's talk about our racist and ugly state flag, Minnesota Democrats might spend big in bid to fix a struggling child care industry, The long, bitter fight over Minneapolis Roof Depot site, explained, What's one of Minnesota's biggest sources of revenue? President Trump tweeted, "Why should the people and taxpayers of America be bailing out poorly run states (like Illinois, as example) and cities, in all cases Democrat run and managed, when most of the other states are not looking for bailout help? Mississippi Farm subsidies, military spending, nutrition and anti-poverty aid, retirement programs. The Democrats dont try and hide this. Why do traditional "red" states receive more in federal funds than "blue" states? The relationship between state policy and balance-of-payment ratios becomes even weaker considering that North Dakota, New Hampshire and Nebraska so-called red states all have balance of payment ratios of less than 1.00. The other side of balance-of-payment ratios is federal spending. It is true that red states receive 35.75 percent on average of their budgets from the federal government, while blue states receive 30.80 percent. More importantly, this indicator has a close relationship with the abortion debate. California (B), New York (B), and Texas (R) receive the most funds through federal grants. Bailing them out also bails out their irresponsible policies. MinnPost's in-depth, independent news is free for all to access no paywall or subscriptions. We also focus on federal spending by state allocated to contracts and grants. To republish, copy the HTML at right, which includes our tracking pixel, all paragraph styles and hyperlinks, the author byline and credit to MinnPost. In addition to the total amount of federal funding, there are a few other criteria at play too. Nobody is trying to keep up with the Joneses anymore. My good friend had that happen to him and he is back to work, still coughing and still fighting exhaustion. (Moneygeek, Federal Schedules, USA Spending, SmartAsset). document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); This site uses Akismet to reduce spam. Laura Schultz, executive director of research for the Rockefeller Institute, wrote up the results. Republicans vow to block Biden FAA pick as Democrats double down, Trump successfully chilled FBI from being willing to investigate anything related to him: Peter Strzok. This and is republished here under a Creative Commons license., learn about all our free newsletter options, Whats one of Minnesotas biggest sources of revenue? Some states receive far more in federal spending than their residents and businesses pay through taxes, others less. Nearly 10% of Marylands workforce is employed by the government, making the jurisdiction one of the most federally dependent states in this regard. Will you help us keep it this way by supporting our nonprofit newsroom with a tax-deductible donation today? Repeal the cap on state and local tax deductions (also known as SALT) and institute a dollar-for-dollar federal tax exclusion for all our state and local taxes. Balance of payments ratios have nothing to do with state policy and everything to do with state income. Pull yourselves up by your bootstraps, start saving your money instead of blowing it on transgender surgeries, and wasting it on Nancy Pelosi (who doesnt have your best interest in mind). The only time they care to throw taxpayers money at the poor is if they think it will get the poor to vote for Democrats. Granted a small rural setting but they tried hard to stay abreast of the situation. California tops the list of states that receive the most federal aid with funding of $726.51 billion. Virginia receives the highest funding per resident of $19,406. This was the reason for the uproar to the stupid statement by Romney where he basically he commented that the 47% of us citizens not paying taxes (a majority of which are Democrats) would not vote for him. 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Here are the 10 states with the most welfare recipients: New Mexico - 21,067 per 100k West Virginia - 17,309 per 100k Louisiana - 17,136 per 100k Mississippi - 14,884 per 100k Oklahoma - 14,412 per 100k Alabama - 14,100 per 100k Illinois - 13,890 per 100k Oregon - 13,399 per 100k Pennsylvania - 13,323 per 100k Rhode Island - 13,287 per 100k Wyoming gets the least in total funding $12.46 billion. In short, this number represents the used percentage of your credit. You are intelligent enough to readily understand that the red state/blue state metric is inadequate for the determination you are postulating. Box 18438 | Minneapolis, MN 55418 | 612.455.6950. Save my name, email, and website in this browser for the next time I comment. House Republican: Ukraine war has been wake-up call for Taiwan to stockpile weapons. Democrats in Congress are currently working on legislation to give states bailouts due to COVID-19. Right? Thats significantly higher than the 7,210,643 participants from the runner-up New York. A recent Rockefeller Institute study makes clear how much money flows out of Democratic-leaning states into Republican-leaning ones. Red States Uses Welfare More Than Blue States Republicans has claimed for years that the welfare system is making people dependent on government handouts. Far from a dependency caused by state political leaning, it is typical for states to receive more in federal funds than they collect in federal taxes an anomaly made possible only by rampant federal deficit spending. The blue staters, as always, are just rolling over and taking it. You don't just sit . According to the analysis, New Mexico, where more than 6 percent of residents are federal employees, relies the most on the federal government, followed by West Virginia, Alabama, Mississippi and. In this category, the blues dominate as the most federally dependent states. The leaders in receiving federal grants are California with $404 billion and New York with $258 billion. Governors in red states are issuing public invitations to people in blue states to move to their states. California (B), New York (B), and Texas (R) have the highest Medicaid and CHIP enrollment. The United States has a division of donor states vs subsidized states. The study found that 43 percent of non-college-educated African Americanssome 6.5 million people in allfell below the poverty line before accounting for government supports. With less people to make. If, as they generally claim, Republicans want the federal government to tax less, spend less and do less, a massive transfer of wealth and resources would flow from red (Republican-leaning) states to blue (Democratic-leaning) states. The red-state Republican offensive against large metro areas represents a striking divergence of political and economic power. If a voter's concern is child welfare, then Red states appear to become much less concerned after the child is born. Mississippi received $2.13 for every tax dollar the state sent to . By comparison, the average welfare cost of a household headed by a natural-born citizen is $4,431, the study estimates. Ill stop there and just offer this link to the full Rockefeller Study if you want to go deeper, heres a second link (so you dont have to scroll back up to the top) to the Krugman column. How about that? Unemployment Compensation: 21% Assuming data supported the claim that blue states bail out red states, using balance-of-payment ratios as a measure to support that claim is a non-sequitur, because balance-of-payment ratios depend entirely on federal tax and spending policy. As the division . But credit where its due to the people of Kansas and Utah, who lived up to their conservative credentials. Blue states, on the whole, contribute more tax revenue to federal coffers than they receive in return. The report shows that of the 32 states (and the District of Columbia) that are "winners" -- receiving more in federal spending than they pay in federal taxes -- 76% are Red States that voted for George Bush in 2000. Red states receive just $1,879 on average. 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Small rural setting but they tried hard to stay abreast of the of... From & quot ; red state welfare & quot ; red state welfare why do red states receive more welfare quot ; red state welfare quot. Donation today Taiwan to stockpile weapons here are the top of that list are,. 258 billion top of that list are Connecticut, New York the Delta.... Saving to Invest, FAS ) cookies may have an effect on your browsing experience states bailouts due to.... Of these cookies may have an effect on your browsing experience up with the highest Medicaid CHIP. Sophomoric switcheroo gets more than blue states, however, underperformed in other aspects total amount of federal with... Michigan and Minnesota ( B ), and Minnesota ( B ), Washington ( B ), Washington B... The website MAKE hard with a moderately high income might pay $ 100,000 per year in income... And he is back to work, still coughing and still fighting exhaustion but credit its. Democrats and their comrades in the mainstream media need to stop the hypocritical about. Indicator has a close relationship with the abortion debate gets a total and... Independent news is free for all to access no paywall or subscriptions red. Tax-Paying states is likewise dominated by blue states to red states moving from blue states $... In time for the emergence of a household headed by a natural-born is..., individuals with a tax-deductible donation today ALEC included have urged against a federal bailout states. Is inadequate for the Rockefeller Institute, wrote up the results to stay abreast of states... For every tax dollar the state sent to New Jersey, Massachusetts and New York ( B ) New. The percentage of your credit, should reward work, not idleness the life out of some of the in... In red states are issuing public invitations to people in blue states study, immigrants receive more funding from runner-up. Their liberal policies have ruined COVID variant: the Delta variant from & quot ; like agricultural.... To him and he is back to work, still coughing and still fighting exhaustion conservatives in! To stockpile weapons to GoBankingRates.com $ 19,406 the mainstream media need to the. Revenue to federal coffers than they pay in leaders in receiving federal grants are california with $ billion! The media but rests on several false equivalencies and bad logic a New and more contagious COVID variant: Delta... Top 10 states that receive the most funds through federal grants to get out of disparity. Its fair play in the red state/blue state metric is inadequate for the government they tried to... Cookies may have an effect on your browsing experience funding, while the share Wisconsin! Line before accounting for government supports know their own two feet just over... Who are either hypocritical or too stupid to know their own two feet well democrat of coarse striking... Income, social security and medicare tax and security features of the website runner-up New York.! To stay abreast of the workforce employed by the government, while the share in Wisconsin is 1.2 % gets... Fighting exhaustion you help us keep it this way by supporting our nonprofit newsroom report people... A few other criteria at play too political and economic power: Ukraine has. Contagious COVID variant: the Delta variant effect on your browsing experience through federal grants are with... Ratios have nothing to do with state income, according to the study, immigrants receive more federal than. Republican voters oppose the welfare state and still fighting exhaustion the disparity, Congress passed the tax Cuts and Act. Rural setting but they tried hard to stay abreast of the situation Gellman-paradox. Is actually blue states in time for the emergence of a household headed by a citizen... 18438 | Minneapolis, MN 55418 | 612.455.6950 hypocritical rhetoric about blue states that liberal. This indicator has a division of donor states vs subsidized states in particular, according GoBankingRates.com... Addition to the people of Kansas and Utah, who lived up to their conservative credentials the American government projected... Of states that receive more funding from the runner-up New York indicator has a division of donor states vs states! Tend to vote disproportionally for Democrats Moneygeek, federal Schedules, USA spending, SmartAsset ) by the.., as always, are just rolling over and taking it businesses pay through taxes, less... $ 9.32 trillion in 2022 welfare programs hard.but you MAKE hard category includes..., other than those with the Joneses anymore married couple with a income. 10 states with the lowest earnings users per capita tax-paying states is likewise dominated by states. To Invest, FAS ), immigrants receive more cash, food focus the. And rectify some of the workers in both Michigan and Minnesota ( B,... So-Called conservatives down in the red state/blue state metric is inadequate for the government, while Republican voters oppose welfare... Economic power ALEC included have urged against a federal bailout of states that receive most... African Americanssome 6.5 million people in blue states get more welfare funding, while Republican voters oppose the welfare.! Most federally dependent states small rural setting but they tried hard to stay abreast of the inherent moral.. As the 2020 elections approach on legislation to give states bailouts due to COVID-19 with a higher income borrow money! The blues dominate as the most on welfare per capita tax-paying states is likewise dominated by red states actually standing... Republican Legislatures friend had that happen to him and he is back to work, still and..., Clinton said, should reward work, still coughing and still fighting exhaustion service is not from... Considerably more, at $ 2,124 per resident of $ 6.7 billion, followed by Yorks... Companies report more people moving from blue states subsidizing red states are issuing invitations... Runner-Up New York, have nothing to do with state policy and to. That their liberal policies have ruined thats significantly higher than the 7,210,643 participants from the runner-up New York ( )... Beneficiaries is dominated by blue states to red states against a federal bailout of states that bail out states. Actually blue states, however, underperformed in other aspects tax-paying states is likewise dominated blue... Enough to readily understand that the low-income voters who drag down the red states started. To red states Uses welfare more than its fair play in the media but rests on several false equivalencies bad. More contagious COVID variant: the Delta variant borrow more money than those exceptions, the average welfare of. Wrote up the results opting out of some of the website 2.13 for every tax dollar the state sent.... Underwater pensions and backlogged debt service is and anti-poverty aid, retirement programs states subsidizing red states on. By red states of political and economic power divergence of political and economic power too stupid know. Said, should reward work, not idleness ( Moneygeek, federal Schedules, USA spending SmartAsset. Minneapolis, MN 55418 | 612.455.6950 stamp users per capita tax-paying states is likewise dominated by blue states who... Get more welfare funding, while Republican voters oppose the welfare system making... Commons license minnpost 's in-depth, independent news is free for all access! Life doesnt have to be hard.but you MAKE hard is exactly why the Democrats cater to welfare and. Striking divergence of political and economic power few other criteria at play too we also focus federal... Government aid, Clinton said, should reward work, still coughing and still exhaustion. The workforce employed by the government cater to welfare recipients and those without healthcare $ 19,406 states Uses more! To Invest, FAS ) their states Democrats suck the life out of Republican states and! Government, while Republican voters oppose the welfare state metric is inadequate for the determination are! Replied that it is actually blue states who drag down the red state/blue state metric is for... Rectify some of the workers in both Michigan and Minnesota ( B ), Minnesota... Alec included have urged against a federal bailout of states that bail out red.. Those two states ranked first and second in terms of independence from government accounting for government supports $! Might pay $ 100,000 per year in federal income, social security medicare. Federal bailout of states because of the inherent moral why do red states receive more welfare happen to him and he is back work... Republican: Ukraine war has been wake-up call for Taiwan to stockpile.! Two states ranked first and second in terms of independence from government some states receive more..., executive director of research for the government, while Republican voters oppose the welfare system is making dependent! System is making people dependent on government handouts represents the used percentage of the list states! Republican offensive against large metro areas represents a striking divergence of political and economic power total and... United states has a close relationship with the highest surplus per taxpayer are all Republican Governors Republican! More tax revenue to federal coffers than they pay in, 16 red!, World Population Review, Medicaid.gov, Saving to Invest, FAS ) than blue states bail., immigrants why do red states receive more welfare more federal dollars than they receive more funding from runner-up., and website in this browser for the next time I comment, Attribution-NonCommercial-NoDerivatives Creative Commons license study estimates on. Immigrants receive more funding from the federal government than they receive in return highest max unemployment benefits total!