For each percentage point drop in the private sector’s share of the state economy, Illinois household incomes fall by over $3,000 on average. Unfortunately for Illinoisans, the private sector’s share of the Illinois economy has dwindled as government’s share – enabled through tax-funded spending – has risen to 25 percent.
Illinois House Speaker Mike Madigan criticizes Gov. Bruce Rauner’s economic reform ideas and offers only growth-killing tax hikes for Illinoisans in need of better jobs and income.
Illinois AFSCME workers enjoy yearly wages of nearly $60,000 when adjusted for cost of living, in addition to Cadillac health care benefits. Most Illinois state workers will also get free health insurance when they retire, and career state retirees receive $1.6 million in pension benefits on average.
Illinois’ economy lagged the national average between 2003 and 2014. Had Illinois’ gross domestic product grown at the same pace as the national average since 2003, Illinois workers would have generated an additional $64.6 billion in products and services in 2014.
Illinois recorded the second-worst growth in gross domestic product of any state in the Midwest, according to this week’s release from the Bureau of Economic Analysis. The Illinois economy grew by just 0.9 percent in 2013. Only Missouri grew slower, at a sluggish 0.8 percent. The state’s growth ranks near the bottom nationally as well....
Chicago’s $1.15 billion projected budget gap is the latest in a decades-long string of structural deficits. Making Chicago’s high taxes worse is not the solution.