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What is gross domestic product?
Gross domestic product is the total value of all the goods and services produced in the US in a year; a measure of the size of the U.S. economy.
What are progressive taxes?
Progressive taxes are taxes that require high-income groups to pay a larger percentage of their income in taxes than low income groups.
What are regressive taxes?
Regressive taxes are taxes that take a larger share of the income of low-income groups than of high-income groups.
What are the different sources of tax revenue for both state and local governments?
Property tax is the most important source of revenue for local communities, while the general sales tax is the most important source of tax revenue for state governments. Also, several states have state income tax. Lastly, there are taxes that are levied on those that extract natural resources such as oil, timber, and gas from the land. States also receive revenue from the state lottery systems, as well as tax money coming from the death of a person person who then wills their goods to heirs.
How are property tax exemptions used?
The Homestead Exemption (property tax exemptions) is an increasingly popular method of excluding some part of the value of owner-occupied homes from property taxes. Homestead exemptions go only to homeowners, not to businesses; these exemptions may be expressed in dollar amounts of assessed value (where the first $10K or $25K of assessed value of a home is nontaxable).
Which taxes are considered regressive?
Somewhat surprisingly, the general sales tax is considered regressive. Also, fees are considered to be a regressive tax. This is because lower-income families pay a larger amount of income for them.
What are excise taxes?
Excise taxes are taxes paid when purchases are made on a specific good, such as gasoline, cigarettes, etc. Excise taxes are often included in the price of the good. Also, there are excise taxes on activities, such as on wagering or highway usage by trucks.
Why do states look to keep their corporate taxes low?
States look to keep their corporate taxes low in order to help attract new businesses. With new businesses come many new jobs, as well as an influx of money.
What is meant by tax burden?
The term tax burden refers to the taxes paid as a percentage of total personal income. This basically just shows how much of a personal burden paying taxes is based on that individual's income.
Which level of government is affected the most by limitations on taxation?
When it comes to limitations on taxation, local governments are affected the most by a limitation on property taxes. Because of this, local governments have started to rely more on state aid as well as fees and charges.
How do most Americans feel about taxes?
Americans have always felt that their taxes were too high, and as taxes go higher the distaste grows greater. Homeowners are going to oppose property taxes more as it affects them, and individuals that rent a house or apartment are going to dislike sales tax more.
What are debt ceilings?
Limits the amount of money a government can borrow to a proportion of the tax base. State constitutions may place restrictions on debts in this form.
Know the different types of bonds
There are 2 main types of bonds, general obligation bonds and revenue bonds
General Obligation Bonds: backed by the full faith and credit of the government that issues them. Pledges the full taxing powers of the government to pay both the principal and interest due on the bonds. More secure, so lenders are willing to accept lower interest rates on them.
Revenue Bonds: not guaranteed by the issuing government but instead are backed by whatever revenues the project itself earns. Not backed by taxing powers, so lenders face greater risks and raise interest rates.
Know the Supreme Court of Engel v. Vitale
Engel v. Vitale (1962), was a landmark United States Supreme Court case that ruled it is unconstitutional for state officials to compose an official school prayer and encourage its recitation in public schools.
What is the poverty rate?
The official US poverty number is 14.8%. That's the percentage of the population that are below the official poverty line (46.7 million).
What is the "feminization of poverty?"
Feminization of poverty is the concept that describes the idea that women represent disproportionate percentages of the world's poor. UNIFEM describes it as "the burden of poverty borne by women, especially in developing countries". This concept is not only a consequence of lack of income, but is also the result of the deprivation of capabilities and gender biases present in both societies and governments. This includes the poverty of choices and opportunities, such as the ability to lead a long, healthy, and creative life, and enjoy basic rights like freedom, respect, and dignity. Women's increasing share of poverty is related to the rising incidence of lone mother households. The term feminization of poverty itself is controversial and has been defined in many different ways.
How do we measure wealth?
Wealth is the net worth of all ones possessions—home value minus mortgage, auto value minus loan, business value minus debts, money in bank accounts, savings, stock and bonds, and real estate.
Who is responsibility for public welfare?
Public welfare has been a recognized responsibility of the United States government since the colonial days.
What is the payroll tax?
A tax that is levied on and withheld from employee's wages.
What has been the effect of Social Security?
Social Security is largely responsible for the elderly's "victory" in the war against poverty.
Which health programs do state and local governments provide?
Vaccination and immunization, safeguarding of water supplies, general and specialized hospitals/health centers/nursing homes, Medicare (health insurance for the elderly), and Medicaid (health insurance for the poor).
What changes occurred with the introduction of the TANF program?
It ended the federal cash entitlement program for low-income families with children The Act provides temporary financial assistance while aiming to get people off of that assistance, primarily through employment. There is a maximum of 60 months of benefits within one's lifetime, but some states have instituted shorter periods. The reform granted states wide discretion of how to distribute TANF entitlements. States also have the authority to eliminate payments to recipients altogether. Under the new act, TANF recipients are required to find a job within 24 months of receiving aid. In enforcing the 60-month time limit, some states place limits on the adult portion of the assistance only, while still aiding the otherwise eligible children in the household.
What is Medicare?
Medicare is the federal health insurance program for people who are 65 or older, certain younger people with disabilities, and people with End-Stage Renal Disease (permanent kidney failure requiring dialysis or a transplant, sometimes called ESRD).
Which public assistance program do states spend the most on?
Public education (K-12)
What are magnet schools?
Magnet schools are schools emphasizing instruction in particular areas in an effort to improve quality and attract students.
What are charter schools?
Charter schools are schools operated with public funds by private community groups under a charter from public school districts or other granting agencies.
When can money be given to religious educational institutions?
Those who favor government aid to religious schools frequently refer to the language found in several cases decided by the Supreme Court, which appears to support the idea that government can in a limited fashion support the activities of church-related schools. In Cochran v. Board of Education (1930), the Court upheld a state law providing free textbooks for children attending both public and parochial schools on the grounds that this aid benefitted the children rather than the Catholic Church and hence did not constitute an "establishment" of religion within the meaning of the First Amendment. In Everson v. Board of Education (1947), the Supreme Court upheld the provision of school bus service to parochial schoolchildren at public expense on the grounds that the "wall of separation between church and state" does not prohibit the state from adopting a general program that helps all children, regardless of religion, to proceed safely to and from schools. In Mueller v. Allen (1983) the court upheld a state income tax deduction for educational expenses even though the vast majority of deductions were used for religious school expenses. These cases suggest that the Supreme Court is willing to permit some forms of aid to parochial schoolchildren that indirectly aids religion, so long as this is not directly used for the teaching of religion.
What are the criticisms of No Child Left Behind?
The criticisms of No Child Left Behind are it is narrow instead of comprehensive in terms of thinking skills, it is a measure of progress or lack of progress that should not be used to penalize schools but to offer more assistance to schools needing it, and racial leaders believe that tests are racially biased because on average whites do better than blacks.
What do school superintendents do?
The superintendent is responsible for the management of the public schools, i.e. hiring and supervising teachers and principals, planning and organizing the schools, preparing budgets and overseeing expenditures, and recommending policy to the board. They also have three major responsibilities. First, the superintendent sets the agenda for school board decisions. Second, the superintendent makes policy recommendations. Most agenda items will carry a recommendation. Third, the superintendent implements board decisions. Many superintendents also involve themselves in school board elections, providing encouragement to candidates whom they respect.
What is tenure?
Tenure is guaranteed permanent employment, especially as a teacher or professor, after a probationary period.
Know the Morrill Land Grant Act
In 1862, the Morrill Land Grant Act provided grants of federal land to each state for the establishment of colleges specializing in agricultural and mechanical arts. These became known as land grant colleges.
What are Pell grants?
Federal "Pell Grants" (named for the program's original sponsor Senator Claiborne Pell, D-RI) offer students in good standing a money grant each year, based on the amount their families could reasonably be expected to contribute to their educational expenses. Today, over 9 million students receive Pell grants, worth an average of about $3,500; grants do not need to be repaid.
How is academic performance measured?
Dropout rate, SAT Score, educational attainment (high school/college diploma)
1)Event dropouts- students who stop attending between 10-12 grade as a percentage of total attendance
2)Statues dropouts-person 18-24 who are not in school and have not graduated from high school as a percentage of a persons in that age group
3)High School Graduation Rate- The number of graduates as a percentage of the number of ninth grader
How do states ensure local compliance with state educational policy?
1)Bureaucratic oversight, involving state boards of education, state commissioners or superintendents of education, and state departments of education
2)Financial control through state allocation of funds to local school districts
What body typically controls education within a state?
State boards of education- Control everything from teacher certification to textbook selection; mostly elected by governors but voted on by the people in texas
Where do most schools get their revenue from?
State and federal assistance, private funding, property taxes, and then bonds that are issued to pay for special projects.
What are the functions of college boards of trustees?
Insulate higher education from the vicissitudes of politics; propose budgetary requests to state legislatures for the universities, the more independent the board of trustees the less likely funding will be distributed in pork barrel fashion.
What is the Lemon test?
A three part test for determining whether a particular state law constitutes establishment of religion and thus violates the first amendment
Three parts of the lemon test:
1) must have a secular purpose
2) As its primary effect, must neither advance nor inhibit religion
3) Must not foster "an excessive government entanglement with religion"