Economists say a $1b state budget cut may be needed
Boston Globe - 06/07/2017
Alan Clayton-Matthews, an economics and public policy professor at Northeastern University, said that when it comes to Massachusetts’ future tax revenues, there’s a huge amount of uncertainty.
Much of it has to do with “what investors are doing with disposing of their assets or keeping them in anticipation of a favorable tax-law change,” said the professor, who was one of the experts at the State House meeting. He was referring to a prevailing theory that weak revenue from capital gains taxes — levies on investment profits — in several states has to do with investors waiting for the GOP-controlled Congress to pass tax changes before cashing out.