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CRS851132EPWpage19
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excess money col- lected during a particular period then becomes available for the Government to use to: (1) reduce the level of debt held by the public or maintain it at a level below what it otherwise might be, (2) increase spending above what it otherwise might be, or (3) reduce taxes below what they otherwise might be. If the excess receipts were used to liquidate outstanding Federal securi- ties
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CRS851132EPWpage23
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CRS-9 amount of debt held by the public would be unchanged, but federally held debt would decline as the trust funds’ securities are liquidated. As a result, the overall national debt would be lower. How Are the Government's Interest Costs Affected by Social Security and Medicare? Since the social security and medicare trust funds earn interest from the Government, changes in the level of their securities can affect the interest costs of the Government. However, whether actual interest expenditures of the Treasury are altered depends on the use the Government makes of excess social security and medicare receipts and how it covers income shortfalls. If excess external social security or medicare receipts were used to hold down the amount of debt held by the public, new debt would be incurred to the trust funds, substituting for debt that otherwise would be held by the public. As a result, interest payments to the trust funds would rise, but interest pay~ ments to the public would decline. For the Government as a whole, interest costs would remain unchanged. However, actual interest expenditures from the Treasury (i.e., interest payments to the public) would be lower. Interest given to the trust funds does not raise Treasury expenditures, since it is merely a payment from one Government account to another. If excess income to the trust funds arises from internal transfers from the General Fund, the interest accruing on the corresponding new securities issued to the trust funds would raise the overall interest costs of the Government. However, actual interest expenditures from the Government to the public would be unaffected. The interest given to the trust funds again would merely be a payment from one Government account to another.
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CRS851132EPWpage31
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CRS-13 ~) ' ‘ Yet another possible effect of a debt ceiling limitation is the loss of % interest. If Treasury were unable to issue new securities to the trust funds based on the internal transfers because doing so might raise the Government's liabilities above the debt ceiling, the trust funds potentially could lose interest until the debt ceiling were raised and new securities issued
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CRS84688Epage18
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. The journal presents an interview with Chamber Board Chairman Robert Thompson. Q] Senate Committee on Labor and Human Resources, Hearings, March 1981, op. cit., p. 3l5~3l6. See also: Hashimoto, Masanori. Minimum Wage Effects on Training on the Job. American Economic Review, December l982. p. 1070-1087.
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CRS84688Epage14
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preferential for youth workers over other workers for minimum wage-type work? Will the youth differential result in the employment of sub-minimum wage eligible youth instead of older workers ~~ for minimum wage~type work? The problem was clearly outlined by Urban lnstitute economist June O'Neill (who supports the concept of a youth differential or exemption) during hearings in 1981. She explained: "
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CRS84688Epage10
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Youth Employment Opportunity Act of 1983), calls for a ivyear program of experimentation with the subrminimum wage concept. Although nominally designed to "increase the opportunities for summer employment for youth,’ the projected experiment would seem to work on a year~around basis. Under the Percy proposal, a youth (anyone not yet 20 years of age) would be employahle at 85% of the otherwise
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CRS876Spage10
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CRS-8 postwar lows of 1.1 million units a year in 1981 and again in 1982. The economy as 21 whole fell into a deep recession that continued until monetary restrictions were eased in the second half of 1982. Obviously, the economic health of the Nation takes precedence over any one sector. But along with housing, local governments, public utilities and other long-term borrowers are adversely
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CRS876Spage03
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_ million over the number in 1975. Government ~us3aaoations Unit AUG 1 1994 Washington University 'a_;ma,~,-es St Louis, Mo 63130 Decent housing is part of the social compact in the United States. Having " enough space, modern conveniences, the choice of owning or renting, access to a nice neighborhood, freedom to move -- these are important values to Americans. These goals have found
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CRS876Spage05
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CRS-3 households had housing problems in 1983, about the same proportion as in 1975, but an increase of a million and a half households for the two groups combined. There was also a big increase in the number of fgmalgfheaded households with housing problems between 1975 and 1983 (from 7.5 million to ’10.3 million). Households headed by elderly with housing difficulties increased slightly during
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CRS84777Epage03
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CONTENTS COCOOCOO00000000.000000000000COOOOOOO000000IOOOOOOOOOOOOOOOOOOOO O.COCOOOOOOOOOOOOOOOOOOOOOO00.000000IOOOOOOOOOOOO00000000000 I. FEDERAL FLOW OF FUNDS TO INDIVIDUAL STATES, FISCAL YEAR 1983 ....... 1 II. FEDERAL EXPENDITURES FOR DEFENSE AND DOMESTIC PURPOSES ............. 21 CCCCICOOVOOOCOOOOUOOOOICOOOCOOOOOOOO LIST OF TABLES 1. Estimated Distribution Federal Tax Payments by Residents
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Federal tax payments by state residents and federal expenditures in individual states, fiscal year 1983
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1984
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Summary
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This report uses statistical information designed for other purposes to develop interstate comparisons of Federal taxes paid by State residents and Federal funds expended within the State. Emphasis is given to figures showing percentage distributions, per capita data, and State rankings. The analysis does not draw Federal policy inferences concerning the allocation of Federal funds or their impact on State or regional development.
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CRS876Spage07
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CRS-5 declined from an annual average of $24.3 billion in the 1977-1981 years to $8.4 billion a year in 1982-.1986. The deep decline in budget authority for HUD’s low-income housing programs greflects a shift in the mix of aids as well as a reduction in numbers. Produc- tion of new low-income apartments and substantial rehabilitation have been vir- tually eliminated. Subsidies are being provided
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CRS84777Epage01
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§ Report No. 84-777 E Congressional Research Service The Library of Congress Washington, o.c. 20540 K; 2'»; -1’ ,.,,_ 2; _ HM £1 K r as 3.: 5*. ‘ac FEDERAL TAX PAYMENTS BY STATE RESIDENTS AND FEDERAL EXPENDITURES IN INDIVIDUAL STATES, FISCAL YEAR 1983 Lillian Rymarowicz Analyst in Public Finance Economics Division October 19, 1984 LTR $4 - "*3?-' LC M 9% ‘ . ~{ » &apos
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CRS876Spage09
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CRS-7 economic policies." Q] Unfortunately, the number of low-income families with heavy housing cost burdens has increased during the 1980s, raising doubts aboutl the Administration's strategy. Inflation Control and Housing Inflation was a chronic problem in the 1970s. Excess demand and Government deficits in the late 1960s were followed by a series of shocks to the economy: crop
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CRS876Spage14
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CRS-12 the median. In 1986 roughly 5 million lower-income households were receiving assistance under housing programs of the Department of Housing and Urban Development and the Farmers Home Administration. It would take a major commitment to extend these or similar subsidy programs to the many families who would, on the basis of income, qualify for help. A 2. Which groups are especially
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CRS876Spage01
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87-6 s Congressional Research Service The Library of Congress T % Washington, D.C. 20540 W V or or /L i\ *%Q#3 ?r”EmTww $%WWmmm+1 . «I 2'. - 9 W 1. w; um: ’°"S ,{ ' ‘fit’ "en, ‘aw . . __ ~ I *%wer%:&?~%wvwaw ’m.-. r . T ‘t . ' I éiwt E, EH _ ' o - A . . ‘X - . ? H . .{ ¥ :_ ‘ I . V FLOW» , H Ibraries 5 s . J1 .;Z\ a,mvz;1<:»:ry‘ ""0 63130 J V U
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CRS876Spage16
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sector by 1995 as a result of expiring Section 8 contracts and mortgage prepayments of loans made under several HUD and FmHA programs. 2] 8. What actions are indicated to improve the condition and livability of public housing projects? . ,The public housing inventory currently accommodates about 1.3 million families. F Living conditions in some of A these projects leave much to be desired. Operating
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CRS876Spage06
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period 1982 through 1986, reservations averaged 135,000 units per year. flf For 1087 the Administration proposed a program level of 62,500 units but the Congress appropriated funds for about 95,000 units. The 'Administration’s 1988 budget proposes 82,000 incremental units and 18,000 replacements. Five-year housing vouchers would be the main source of assistance. Use of budget authority for the low
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