Tax cuts are reversing the trends. Upstate, state tax cuts can be expected to lead to an estimated 177,000 additional private- sector jobs that otherwise would not have been gained had these tax cuts not been enacted. A stronger private sector has contributed to the sharp drop in welfare. The growing private sector is creating the opportunity for people who are leaving public assistance, and helping them gain a foothold on the economic ladder. These findings have profound policy implications for the State of New York.
More government means higher taxes, which means fewer private sector jobs.
Less government means lower taxes, and lower taxes means private sector job growth. In the first half of this decade, high taxes and high costs drove upstate's economy to its knees. In the second half, lower taxes and lower costs are helping raise it up again.