Jack Salmon: Some states maintain stronger fiscal positions with lower spending

Jack Salmon: Some states maintain stronger fiscal positions with lower spending
States show varying fiscal resilience

Jack Salmon, industry influencer, assesses differences in fiscal resilience among U.S. states. Some jurisdictions have established more robust fiscal foundations by keeping spending lower, ensuring pension systems are better funded, and maintaining larger budget reserves.

Others, however, remain more financially exposed due to higher spending commitments and greater reliance on federal transfers.

Salmon has recently questioned whether surtaxes and tax hikes on high earners have increased U.S. income tax revenues. Earlier, he evaluated the inflationary risk from a potential oil supply disruption, estimating that a brief closure of the Strait of Hormuz could raise U.S. headline inflation by 0.6 percentage points. His analyses address a range of fiscal and economic exposures at both national and state levels.

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