Richard S. Davis

WA ranks #42 in share of tax filers claiming Earned Income Tax Credit

The Tax Foundation’s tax map this week shows EITC claims as a share of filers by state. Washington ranks No. 42. Go here for a good explanation of the EITC. BTW, today is Earned Income Tax Credit Day. Who knew? The Tax Foundation summarizes the general resul. Lower-income, southern states had a higher proportion of […]

Why it makes no sense to tie minimum wage increases to gains in productivity

The recent push to raise the minimum wage has seen occasional efforts by proponents to relate the minimum wage to increased productivity. For example, Up to 1968, increases in the minimum wage kept up proportionately with productivity increases. That made sense, as the gains in productivity were in that way equitably shared between employers and […]

Increasing opportunity: better politics and better policy than attacking inequality

In the days leading up to the State of the Union, the White House signaled a rhetorical shift. Less talk of inequality, more emphasis on opportunity.  As ABC News reported, The adjustment reflects an awareness that Obama’s earlier language put him at risk of being perceived as divisive and exposed him to criticism that his […]

Raising the minimum wage — government workers get it first

Seattle Times columnist Danny Westneat wonders if executive orders from Seattle Mayor Ed Murray and President Obama raising the minimum wage for government employees and employees of federal contractors may backfire. It’s possible that giving huge pay hikes to some government workers will spark a prairie fire to get higher pay for all. But it […]

Governor's tax proposals face skeptical Legislature

Gov. Inslee’s proposed tax increases to boost school spending look like they’ll go where they’ve gone before — nowhere. AWB president Kris Johnson had this statement. Unfortunately, the governor’s plan to eliminate a handful of tax incentives does not address the long-term funding challenge we face, and would have serious negative impacts on the employers […]

Inslee promotes boost in school funding

In his state of the state message, Gov. Inslee proposed $200 million in new revenue for education. Today, the governor released his plan. The presentation materials detail the new taxes. » Repeal sales tax exemption for trade-ins valued over $10,000 » Repeal public utility tax deduction for in-state portion of interstate transportation » Repeal use […]

Inequality and the minimum wage – two different issues – and one just became more complicated

For reasons not entirely clear, discussion of increasing the minimum wage have been closely linked with expressions of concern over income inequality. In Seattle, for example, Mayor Ed Murray’s task force looking into the $15 minimum wage is called the Income Inequality Advisory Committee. Rep. Farrell’s statement in support of a $12 minimum wage included the […]

Who is working for the minimum wage?

Who are the minimum wage workers? In today’s press conference, proponents concentrated on the number of adults working for the minimum wage, carefully distinguishing them from teenagers.Adults were considered to be people age 20 and older. Where you draw that line is important. For health care reform, of course, you can stay on your parents’ […]

House Democrats propose statewide $12 minimum wage

House Democrats held a press conference (video at the link)  today calling for a statewide $12 minimum wage. HB 2672 would take the wage to $12 by 2017. The Seattle Times reports: Under the proposal, the state’s current $9.32 cent-an-hour minimum wage would increase to $10 an hour starting Jan. 1, 2015, and would get another […]

Minimum wage talks begin in Olympia … won't end there

In today’s column I write that the governor’s proposed minimum wage increase is intended as a key part of the 2014 campaign season. Austin Jenkins has more at the NW News Network, where he writes that Democrats may have a proposal out as early as this week. Republicans are countering with their own plans to […]