Pew's Fiscal Federalism Initiative is currently exploring the impact of federal tax and spending changes on the states by investigating:
- The sensitivity of state budgets to changes in federal spending;
- The interconnectedness of federal and state tax policies;
- How federal regulatory policy has a fiscal impact on states; and
- The impact of federal tax and spending policies on state economies and the potential indirect effect on state finances.
Our original, non-partisan research gives both state and federal policy makers the information they need to make informed fiscal decisions.
Research & AnalysisView All
The State Children’s Health Insurance Program (CHIP) is a joint federal-state program providing health coverage to low-income children in families whose incomes are too high to qualify for Medicaid. Like Medicaid, CHIP is funded through a combination of state and federal dollars, but unlike Medicaid, federal funding for CHIP is capped. Despite those limits, Congress has generally provided... Read More
Debates over federal disaster spending often focus on the Federal Emergency Management Agency’s (FEMA’s) Disaster Relief Fund, a primary funding source for disaster response and recovery. However, of the $255 billion in inflation-adjusted federal expenditures on disasters from fiscal years 2005-14, the fund accounted for only $111 billion, according to a September 2016 report by the... Read More
The federal government and nearly every state with an income tax offer the student loan interest deduction. This provision allows taxpayers to subtract interest paid on student debt from their taxable income to help families reduce the cost of borrowing for higher education. The maximum federal deduction, $2,500, has not changed since 2001, but between 2007 and 2016, student loan balances... Read More