Unemployment and Taxes in New Jersey

New Jersey's unemployment rose from 5.1 percent in July to 5.3 percent in August, its highest level in more than two years, even as the national rate declined. Nationally, the unemployment rate declined from 4.8 percent to 4.7 percent from July to August.

In the past twelve months, the private sector in New Jersey has added only 26,300 jobs, while state government has added 2,400 workers and local governments in the Garden State have added 3,500 more workers.

This past March, Governor Jon Corzine claimed he was going to eliminate 1,000 state jobs as part of his “hard choices” budget. Instead, what taxpayers got were $1.8 billion in new taxes and 2,400 more state workers to support.

Tax policy makes a difference. Increasing taxes does not help grow an economy. Increasing taxes is not a prescription for increasing the incomes of middle class families. When are New Jersey’s liberal Democrat’s going to figure this out?

Check out the Hall Institute’s virtual debate between Bob Menendez and Tom Kean. Menendez’ solution to every issue is to raise taxes.

New Jersey already has the highest property tax rates in the nation. In addition, New Jersey state income tax rates for those in the top-earning brackets are among the highest in the nation.

For every dollar state taxpayers pay to the federal government, New Jersey gets back 55 cents, the lowest return in the nation. The reason for the state’s lousy return should come as no surprise – we are “the rich” - New Jersey has the highest household income of any state. It should be obvious that the taxpayers of New Jersey are paying their “fair share” to the federal government.

But, not according to Senator Bob Menendez and congressional candidate Linda Stender. Both Democrats are calling for the repeal of the “Bush tax cuts”, which means they are advocating for higher taxes on New Jersey families.

There’s a reason New Jersey’s economy is going in the opposite direction from the nation as a whole – crushing state and local taxes. The last thing New Jersey needs is higher federal taxes. Menendez and Stender haven’t figured that out or maybe they just don’t care about the people who pay the bills.