Honky Tonk Foodie
The economic effects of COVID-19 are being felt profoundly across the United States and the world. To assist with the myriad of hardships its citizens are experiencing, the U.S. federal government has provided individual states, including Texas, with monetary aid beyond what is typically provided to states. Generally speaking, federal money comes partly from income-tax contributions by state, however, some states are in receipt of a larger return than others. The numbers are quite varied and reviewing as an overview provides interesting introspection into the systematic distribution of funds and federal dependency.
Photo: envato elements
A new study from WalletHub delves into a comparison of all 50 states, noting the discrepancies in federal dependence. The study of 2020’s Most & Least Federally Dependent States uses three key metrics: return on taxes paid to the federal government, federal funding as a share of state revenue, and share of federal jobs. A key aspect to maintain along with the state of affairs in regards to dependence on federal assistance is the more federally dependent a state is, the more likely it is to better handle the effects of the coronavirus pandemic since more dependence means more federal aid.
Photo: envato elements
Can you guess where Texas lies? Of the states, Texas ranked 40th out of 50 for Return on Taxes Paid to the Federal Government, 33rd out of 50 in Share of Federal Jobs, and 28th out of 50 in Federal Funding as a Share of State Revenue. Overall, the least five federally dependent states are Kansas, New Jersey, Delaware, Iowa, and Utah. Most reliant are New Mexico, Kentucky, Mississippi, West Virginia, and Montana. Other numbers for the Lone Star State (as of mid-May) include 346,839 small business loans administered, $641.51 million in funding for test sites and testing, and rainy day fund as percentage of annual expenditures, as of the start of fiscal year 2020, is 12.9%. Do these numbers match with your tracking of Texas federal aid?
