Economists question lawmakers’ plans to address inflation

July 19, 2022

As consumers nationwide grapple with increases in the cost of rent, gas, and groceries, New Jersey lawmakers have offered a slew of plans they say will address skyrocketing inflation.

Sales tax holidays on certain items, moratoriums on toll increases, and a revamp of income tax brackets are just some of the ideas floated to ease the pain of the largest jumps in consumer prices seen in 40 years.

But economists say there is little state officials can do to combat the cost of goods, a problem they said is really in the hands of the federal government. And while some tax holidays might help put a little more money back in the wallets of consumers, the state will have to find some way to pay for the projects and services that tax revenue is intended for, they said. 

“Everything should be under consideration, but each one should be carefully analyzed on really the cost and benefit of each because in many cases, it’s a trade-off,” said James Hughes, an economist at Rutgers University. 

New Jersey Monitor, July 18, 2022

Recent Posts

Sommer & Soliman On BINJE’s Power Players List

Powerful Praise Those who are being honored share one characteristic: They are quick to credit their colleagues. Business in New Jersey Everyday (BINJE) honored CEOs and executive directors, managing partners and principals - those who are in charge in every sector in...

New CUPR Report: Modern Rate Design in the Northeast

Modern Rate Design in the Northeast: Unlocking Efficiency, Affordability, and Electrification Read the full report Executive Summary The Northeast and Mid-Atlantic regions face some of the highest energy costs and energy burdens in the country. Regionally, energy...

Alums Contribute to DEP’s Brownfield Success StoryMap

NJDEP Brownfield Success Stories Office of Brownfield & Community Revitalization, Contaminated Site Remediation & Redevelopment Doug Leung, Josephine Michener, Emily Perez, Samantha Findeisen, Rachel Stopper, Ronald Wienckoski Bloustein School Alums Josephine...

Heldrich Center: New Multi-State Teacher Workforce Report

The Heldrich Center for Workforce Development has announced the release of a new Multi-State Teacher Workforce Report, designed to provide a comprehensive, data-driven view of the educator pipeline from preparation and certification to placement, retention, and...

Jeremy Zorek (PPP ’25) Bids MetroCard Farewell (NYT)

A Farewell Ride With the MetroCard, on Every Transit Line That Uses It In a recent New York Times feature, Rutgers Bloustein alum Jeremy Zorek (Planning and Public Policy '25) is highlighted as part of a group of transit enthusiasts undertaking a unique, all-day...