General Sales Tax Proportion - Assignment Example

The value of 0.0% in average sales tax at the local level is also important in that it shows businesses are exempted from sales tax. Additionally, when considering the state-level average sales tax, it is shown that New Jersey is ranked 1st with a 14.1% rate. This makes New Jersey very important in contributing to the national sales taxes.

Question 2: Look at the local property tax proportion. How important is the property tax to the cities and counties in your state… more or less important as compared to the average of all states? More or less important as compared to the 6 states we’ve looked at?

New Jersey has a proportional property tax of 55.1% as compared to the other states that do not exceed the 30% mark on the sale while it is more than twice the national average of 26%. To the cities and counties within New Jersey, a 55.1% property sale proportion provides the maintenance of the cities and the county amenities and infrastructure. However, the high property tax at the local level indicates high rental rates or high acquisition of real estate establishments. In addition, the state-level averages display an abnormal comparison when compared to the national average. The national average is 26.8% against the local level of 55.1%. In conclusion, the vast acquisition of property in New Jersey contributes to the high rate of property tax at the local level.

Question 3: Look at the spending on education at both the state and local levels for your state. Including both state and local levels of spending, consider the differences between your state and the national averages, and answer the following question: is your state, taking into account both state and local levels of spending, nearer the top or nearer the bottom in emphasizing education?

Spending on education is divided into two, state and local spending. Concerning state spending on education, New Jersey is ranked 3rd and 5th in local and state spending on education. The national average expenditure on education is 13% and 36% at the state and local levels respectively. Although New Jersey is ranked 3rd locally, it is evident that the state level does not allocate only 12.6% which is considered influential to the fifth position considering the case states. However, in terms of general ranking terms emphasizing education, NJ, is ranked more at the bottom than at the top.

Question 4: Look at the spending on public welfare at both the state and local levels for your state. Including both state and local levels of spending, consider the differences between your state and the national averages and answer the following question: is your state, taking into account both state and local levels of spending, nearer the top or nearer the bottom in emphasizing public welfare?

In terms of emphasizing public welfare, New Jersey is not the worst and neither is it the best in both state and local ranks. New Jersey is 3rd and 5th on local and state levels. However, comparing the state and local averages with the national averages show that NJ falls slightly short of reaching the national values. For local and state levels, NJ had averages of 2.5% and 20.2% respectively against the national averages of 3.1% and 21.9% on local and state levels.

Question 5: Discuss (briefly!) any other aspect of your state’s spending or revenue you find
noteworthy.
In terms of employee retirement, New Jersey portrays a rather baffling phenomenon. When considering the national and local average employee retirement data, New Jersey is ranked first and last respectively. This shows that at the local level, New Jersey has the poorest level of retirement meaning more people are unwilling to leave work. On the national level, New Jersey is ranked first in retirement rate indicating the presence of states that have a higher retirement rate. Read More