Podcast: I Spy Minute – Red States get More Fed $ than Blues

Posted on May 23, 2012 by


All those evil (conservative) Red states get more federal funding than they pay in, while all those saintly (progressive) Blue states pay more federal taxes than they get back.

So the claim goes that Blues are subsidizing Reds, while the Reds cut taxes and decry federal spending –while getting more federal tax dollars than they pay in.

Actually, this is true. Take a listen: I Spy Minute Tues May 23 2012

Or read the transcript…

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There’s an internet myth, so to speak, that occasionally rears its head—that blue states pay more in federal taxes than they get back, while red states get more than they pay.

So the argument is that liberal blue states subsidize conservative red states or that red states feed at the federal trough all the while saying how bad taxes and spending are.

At first, I thought it was political spin that the left wanted to show their states and their whack-job economic policies (sorry, progressive policies) are somehow superior.

But it turns out red states do tend to get more total federal expenditures than blue states. So the data supports their theory.

Well. Sort of. As with any data, it depends on what numbers you’re looking at.

But what they fail to point out that they’re the victims of their own progressive tax policies.

When you look at where most millionaires live, they tend to live in metro areas—in other words, blue states.

And who pays the most taxes and at the highest rates? Millionaires.

Maybe, if don’t like paying out more than they get back, just maybe they ought to reconsider those policies.

Posted in: Multimedia, Taxes