State Tax Revenues Increase In Good Sign For The Economy
The General Fund is the state’s piggy bank, where revenue goes in and payments come out. Today, the State Controller’s office released a report showing that, since June, the fund earned almost $300 million more than the same time last year. That’s an increase of over four percent. Amber Young at the controller’s office says it’s for the best possible reason-- people are earning more.
“It’s just things are doing better—individual income went up five percent,” Young said. “We’re seeing more people working again. Corporate went up about that amount.”
At this time last year, revenues were only up by a little over one percent, and economic growth was tepid. North Carolina State University economist Michael Walden says this is another sign the economy is ramping up.
“We have now returned to pre-recessionary levels in the state—in fact, we’re about 40 billion dollars higher,” Walden says. “I’m of the mind that we might actually see an acceleration of the state economy in 2013.”
Not everyone agrees. On Tuesday, UNC Charlotte released its own report, predicting the economy will only grow by about two percent next year.