Northeast

New York’s Fiscal Complexity New York is both a state and a city in a way that complicates most fiscal analysis. New York City’s budget is larger than most states. The fiscal fortunes of the state are deeply entangled with the fortunes of the financial industry concentrated in Manhattan. And the political economy of a state that must satisfy both the country’s densest urban core and large rural upstate regions produces a governing complexity with no real parallel. ...

The Fiscal Character of the Northeast The Northeast—New England plus the Middle Atlantic states—is America’s oldest industrial and commercial core. Its fiscal profile reflects that history: high taxes, high services, dense and aging infrastructure, and long-standing commitments to public institutions that are expensive to maintain and politically difficult to reduce. The region encompasses two distinct sub-regions with meaningfully different characters. New England Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, and Vermont share geography but diverge sharply on fiscal philosophy. ...