State/Local Finance - Assignment Example

ECO 346 SPRING HOMEWORK REG. NO] [ISTITUTION’S ECO 346 SPRING HOMEWORK QUESTION The board of Education in the City School District of Albany approved a budget proposal for 2015-16 worth 224 million dollars (ALBANY SCHOOLS). Comparing it to the previous year’s budget, which was $221,752,648, this is an increase of approximately 0.9%. Tax-levy increased by 0.98%; being the second year in a row for such an increase below 1%. This presented a tax-levy increase that is less than half of the district’s tax cap of 2.

26% for next year. The budget includes some programs and supports, and tax-free facilities propositions (ALBANY SCHOOLS). Some of the new programs and supports include: Restoration of three positions cut during recession: An assistant Director of pupil personnel, Instructional Supervisor and Extended day coordinator. To enhance consistency in prekindergarten instructions in the district, they considered investments. Addition of reading teachers Six of new social workers, psychologists and behavioral specialists.

College carriers reading coordinators. Among others. Tax free proposition includes provision of new turf filed (ALBANY SCHOOLS). These are some of the specific programs that may be targeted for cuts. QUESTION TWO I think one of the transportation services that should be financed by the revenue generated by these fees is enabling acquisition of speed governors for free (Ronald, 2006). The operators of Public Service Vehicle should be given free speed governors by the government on acquiring the vehicle.

This will not only standardize the quality and type of speed governors used but also will reduce cases of over-speeding. Besides, gasoline tax could be used fix exhaust-filters on vehicles. One of the challenges facing transport industry is pollution. Setting up strategic spots where newly acquired vehicle will be fitted with exhaust filters can be a key step to making use of the revenue realized from these taxes. Additionally, gasoline tax could be used to increase emergency road services, 24/7.

Considering that transportation spending do exist, state aiming to fund as much of it as it can, from these taxes and fees, will be a fair move to put citizen’s money into use and improve the transport industry at large. QUESTION THREE The authors in the text observe that each level of government has a role to play in the provision of the safety net (programs designed to assist people who find it difficult to meet basic needs). This includes federal government and state government. Additionally, the authors conclude that Medicaid is the largest and fastest growing among the safety net programs.

This basically in terms of magnitude and number of recipients. I do only agree with the authors that each level of government has a role to play to promote safety net but also believe that it a responsibility and role of every American with slightly higher standard of living to take part in the provision of safety net. Going by the statistics provided, I agree with the authors that Medicaid is the largest and fastest growing safety net program. However, in case the ongoing data collection presents a different thing, then I will be obliged to disagree with them.

QUESTION FOUR A community has a lot to gain from new business investment. Firstly, the community gains a good reputation. A place with an industry or a thriving business gains reputation (Ronald, 2006). This may come as a consequent of emergence of articles bearing the name of the place. Besides, the members of the community may benefit from the employment opportunities created by the business; hence securing source of income. Another gain that may be accompanied by a business investment to a community is growth of facilities (Ronald, 2006).

Due to needs of the business, facilities such as better roads and communication lines, may be constructed thus enabling the local community to take advantage of them. However, some of costs that may come with a business investment in a community is increased competition (especially in the case where the new investment provides substitute good or service) (Ronald, 2006). Already existing business may face stiff competition pushing them out of business or reducing their profit margin. Additionally, to create space for the shopping center, some community members may be displaced.

This case of displacement also applies to a manufacturing plant. Besides, a manufacturing plant may increase pollution of the surrounding hence endangering the lives of the inhabitants. Construction of a new manufacturing plant is normally associated with influx of people of various social backgrounds in search for employment . This may lead to erosion of community morals and code of conduct (Ronald, 2006). A community should discourage investment activities if they have great negative impact to the people (Ronald, 2006).

For example, a manufacturing plant with poor waste management strategy or whose by-products are highly harmful to the living things should be discouraged. Additionally, if the investment presents unhealthy competition to the local business posing risk to their survival, it should be discouraged. Reference Ronald, F. (2006). State and Local Public Finance. New York: South-Western College ALBANY SCHOOLS WEBSITE: http://www.albanyschools.org/index.htm , 2015.